Reply #1: Small business is in the cross-hairs of big business/Republican party [View All]

[AP]

I don't think a lot of people realize this, however.

Small businesses create a lot of competitive pressure on big businesses. Big business would prefer to dominate markets, and slow down innovation and not have price competition.

Furthermore, we could talk 'til we're blue about progressive taxation on individual income, and we would never get around to the biggest issue with taxation -- 90% of the problem with the tax code is that we have a de facto flat tax on corporate income. We theorize about the affect of a flat tax, while we have a real world example of what it does: just look at who controls America -- big business. That's what happens when you have a flat tax. The big get bigger and the small have a harder time competing and growing. (They just get bought out, and the the economy suffers).

By the way, oone of the first things Bush did was slash funding for the SBA.