Newton resident, member of the Republican State Committee
President Reagan’s tax cuts in the 1980s contributed to the growth of 16 million jobs during his presidency and set the economy in an upward spiral.
President Trump’s tax cuts will do much the same, but more.
Within hours after he signed the Tax Cuts and Jobs Act, CVS said it would hire 3,000 more employees, with AT&T and Comcast announcing $1,000 bonuses to their tens of thousands of employees. And that’s just for starters.
The dramatic reduction of the corporate tax rate from an astronomical 35 percent to a saner 21 percent will bring more US companies and their affiliates back to the mainland and sharply reduce overseas outsourcing, a major reason for the decline in domestic manufacturing jobs.
I am confident the cheap overseas labor costs that lured US companies to countries like India or China in the first place will also be offset by the sharp reduction in expensive transport costs from those countries. This net effect of returning companies operating at near or full capacity in the US will create a job expansion the likes of which haven’t been seen since the Reagan era.
Individual tax rates will be cut for about 80 percent of American households in 2018. Yes, that includes the wealthy, but soaking the rich who create, manage, and expand companies rarely makes sense, especially for the people who work for them.
The $10,000 cap on the property and state income tax deduction will affect Wellesley more than Waltham, but there are a lot more Walthams across the state — and country — than Wellesleys.
The premise behind the individual tax cuts is really Economics 101: The more money consumers have, the more they’ll consume, or rather, spend, at the big malls or small-town mom-and-pop stores. These businesses will order more goods from the companies that produce those goods, which in turn will hire more employees to keep pace with consumer demand.
That’s the plan of the president, dubbed the Blue Collar Billionaire, whose promise to bring jobs back to America earned him the support of millions of working folks.
James B. Eldridge
State senator, Acton Democrat
President Trump and the GOP have declared class warfare by passing a tax bill that will harm working families, small businesses, students, teachers, entrepreneurs, veterans, firefighters, law enforcement, nurses, construction workers, the poor, the elderly, and the disabled. If you’re skeptical, consider this: The tax cuts for the wealthy and big corporations in the law are permanent, while the minor tax cuts for most working families will expire after 2025.
After drafting a bill in secrecy, Republicans passed legislation that will raise taxes on 92 million middle-class families by 2027, trigger automatic cuts to Medicare, and add $1.5 trillion to the national debt. The Republican tax bill also rewards companies that outsourced American jobs abroad by lowering the effective tax rate on their offshore profits. Why? It’s because President Trump and the GOP wanted to give massive tax welfare to the richest 1 percent and billionaire corporations.
This massive giveaway to the rich and well-connected means that we will have $1.5 trillion less in investments to make, which will hit Massachusetts particularly hard. Families who are barely making it now could see support for heating oil, housing subsidies, and food stamps disappear, while funding for special education, Medicare, transportation, and environmental protection will be at serious risk. All of these cuts to our communities not only are contrary to Massachusetts values, but also will do serious damage to our economy.
As a lawmaker, I believe that I have a responsibility to use facts over politics and special interests when I review public policy. I have voted to give tax relief to seniors, veterans, low-income and working class folks, and I would support tax cuts for big corporations if it had been proven that it would actually benefit our economy. But from Ronald Reagan to George W. Bush, history has shown us that so-called trickle-down economics doesn’t work.
The reality is President Trump and the Republican Party just gave billions in welfare to millionaire CEOs and big corporations at the expense of millions of hard-working Americans who broke their backs to make the 1 percent richer. That is not just immoral — It is counterproductive to what Massachusetts needs to keep moving forward.
(This is an informal poll, not a scientific survey. Please vote only once.)As told to Globe correspondent John Laidler. He can be reached at email@example.com.