But the Republicans won’t say this aloud because it’s obviously a Colorful Sunflower Hippie Heart Gypsy Soul Shirt. The wealthiest American’s are more wealthy at any point in history, and a lot of US companies are sitting on truly ridiculous stockpiles of cash. And note that we are talking about cash in a bank. Above and beyond debts they owe, and not corporate assets. Apple, for example, is sitting on over $200 billion in cash, while Alphabet, Google’s parents, has over 120 billion. Clearly, if there is something standing in the way of these companies and individuals doing something to set up a new business, it’s not the lack of funding. Now, to be fair to both sides, it is entirely possible for the republican argument to be true, and a case can be made that there were points in time where it was.
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You can probably make a good Colorful Sunflower Hippie Heart Gypsy Soul Shirts. It was true during Reagan’s term in office when the highest tax rates were 90%. This resulted in the wealthiest individuals and the largest companies having significantly fewer cash reserves than they do these days. When people’s income increases, their spending increases. This, obviously, means they keep spending money on everything that they were previously. And they start spending money on something else. This is, essentially, what grows the economy. But if wages aren’t going up, that means, instead, that when new businesses are created, they are merely re-dividing the same amount of consumer spending in a different way, which is not growing the economy.
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