Corporate profits and tax breaks for millionaires have been discussed from letters to the editor to dinner parties.
As I’ve said before, Jeff Bezos, Mark Zukerberg, and Elon Musk paid little to no taxes last year and years before. All of these people employ millions of people who pay taxes. They get tax relief by reinvesting profits back into their businesses, which helps the business grow and employs more people who pay taxes. When they take profits and don’t reinvest, their tax bill is huge. Example: Elon Musk said he paid more taxes this year than any American in the country’s history, a estimated at 11 billion. I am in favor of imposing a limit on the salaries of executives, which are controlled by the boards of directors of public companies. The company also pays corporate taxes. Publicly listed companies pay dividends which are also taxed to the owner of the shares.
I read recently that the stock market is controlled by speculators and profiteers. The stock market is controlled by the value of the stock. The value is determined by a number of ffundamental factors which are a combination of earnings per share, which is the performance of the company, and the valuation multiple, which is its profitability, pindustry performance and firm-specific determinants. These speculators and profiteers also lose money when the market goes down. If you’re jealous of profits, buy stocks, but if you don’t understand the fundamentals above, you’ll likely pick the wrong stocks and lose money. Insider trading is when someone knows that a stock will gain or lose in the future. This is illegal, ask Martha Stewart.
Inflation is also a subject often mentioned in letters to the editor. Often they blame the current or past administration. It’s that simple ! Inflation is caused by the price of goods and services which is caused by supply and demand. When you raise the minimum wage for workers, you raise the price of everything they produce. The price of fuel is important in this formula. Again supply and demand. When you make decisions that reduce the supply of oil, the price increases. Add to that OPEC’s decision to cut production (cut more in the US than in the EU, including Russia), the price goes up. Naturally, whatever administration is in place will push for more supply and foolish measures like California inflation and gas rebates. Note that these moves always come a few months after an election and favor the demographic that will vote for the current administration.
In a previous column, I bragged about having to pass a test in order to vote. It goes against most people’s values because they think I don’t want people of color or uneducated people to vote. This is not the intention. It doesn’t matter if you are brown, black, white, yellow, male, female, transgender, Christian, Muslim or atheist. You should have some knowledge of government, simple math, basic economics, be able to read. If you are missing any, you are not an informed voter. There are laws that prevent your friend or neighbor from voting for you, but no law prohibits community organizers from preaching who to vote for. If you can’t pass this test, the government should offer a course you can take to become better informed. If you’re too lazy to take the course you shouldn’t vote because with the current system we have people in high positions who can’t make a full sentence let alone predict what will happen when they change the oil supply or raise the minimum wage.
Bill White is a retired air traffic controller/commercial pilot who lives in Springville.