Yes, a lie. Obama and the big-government politicians know that a company with record profits don't hoard that money in a closet, they put it in the bank. What does the bank do with the money? They lend it out, if anybody wants it.
Have you looked at the record low interest rates?
Very few people are interested in borrowing those pools of cash, so the interest rate stays very low. The reason is investors, who would build the economy, are not borrowing, is the Democrats and Obama Administration's hostile attitude toward business.
Corporate tax rates in the US are very high, up to 35% of corporate income: Keep in mind that corporate income is also used to pay investors; over half the people of the US are involved in investment, generally through their retirement accounts. Corporate income gets taxed when the corporation gets it, and taxed again when the private investor receives a distribution. Because of this double taxation, the effective corporate tax rate is higher than the official tax rate as set by law.
The Democrats have more than doubled the personal capital gains tax rate, a move the Democrats knew would greatly damage employment. The current capital gains rate for most people is 15%; it can be as high as 28%. Anyway, this makes the potential tax rate on US corporate earnings 63%, which has flatlined employment.
|Labor Force Participation Rate, bls.gov|
But didn't president Obama announce the unemployment rate was 5.3%? Actual employment has not been this low since the Carter depression of 1977. The use of the term "unemployment rate" is a smokescreen. Given the unhealthy Obama economy, many Americans have simply opted out trying to work.
Okay, what about the rich people, shall we tax them hard? Will that fix anything? What do the rich do with the income, stick in a closet (muffled laughter)? No, the rich invest; investment provides employment, unless the government is business hostile (like the present administration). Then the rich just put their extra cash in the bank.
That is unless the rich use their extra money to corrupt the government.. This is happening in Washington state, where Bill Gates put at least $1 million in the 2014 election cycle to enact a gun registration scheme (I-594). The darling of the rich left, Mr Gates was a successful liar, lying to the people that I-594 was only about 'background checks and saving women's lives' when in fact it was about repressing the people's right of self defense.
Watch for more slick lies from the well funded Left as they continue to blind us to steal both our property, income and freedom in the upcoming election cycle. The best defense for our country is a informed and thinking electorate which votes for freedom personal liberty.