“Democrats, facing a Republican barrage, scale back plans for a crackdown on tax cheating.”
This is the answer to the question: why are we encountering rising inflation if industry is not operating at full capacity and full employment? If and only if investors are not enjoying a false ceiling on taxation will they reinvest in jobs and production. Clearly, however, if they can win higher returns by not investing, they would be foolish to throw good money into jobs and goods. In effect, they are creating shortages where there need be none.
And let there be no doubt. These same Republican legislators — we used to call them criminal tax evaders — will hoot and howl when inflation continues to increase so that the corporations in which they invest can keep up with inflated prices across the market.
If, by contrast, legislators were to demand that corporations and individuals who enjoy wealth paid their fair share, this would greatly reduce the moral hazard generated by the false tax ceiling. And it would immediately be felt in stabilizing prices and wages. But that’s the last thing we want. Right?