The partisan tax law that wealthy East Coast developer Matt Rosendale wholeheartedly supports is projected to increase America’s federal deficit by more than $1.5 trillion.
At the same time, it “hasn’t yet resulted in appreciably higher wages for American workers.” Instead, economists have seen a “dramatic deterioration” in real wages and a drop in real average hourly compensation the first quarter after the bill was passed.
And instead of companies increasing capital expenditures like proponents of the tax law expected, stock buybacks have been prevalent and returned more than $700 billion to shareholders, which is “likely to worsen economic inequality,” meaning corporations and the wealthiest benefit while average Americans don’t.
The tax law, among other things, “is unlikely to pay for itself,” will kick an estimated 46,000 Montanans off their health insurance, and includes provisions that will raise Montanans’ health insurance premiums by nearly 20%.
But billionaires like the Koch brothers—whose groups are spending money in Montana’s Senate race—stand to become even richer, by $1 billion each year according to some estimates.
This article was originally posted on the Montana Democrats website. To read the full article click on Rosendale Law Results in Lower Wages.