Corporate Profits, Corporate Taxes, Employee Compensation ... trends.

[TahitiNut]

Just to offer a "heads up" on the economic data I chart (and update periodically), here's the latest (per the U.S. Bureau of Economic Analysis) charts. I've finally resurrected my internet web space and can again 'hot link' to these charts.

To view an INCOMPLETE (not all up to date, either) list of the charts I keep to get a better handle on how I understand our economy, y'all can look at http://www.tahitinut.com/MyCharts.htm ... but it's a kludge right now.

It seems pretty clear that corporate income taxes (on profits) have continue to decline, from a post-WW2 high of nearly 50% to a recent bottom of just above 20% ... even though corporate profits have been a steadily increasing share of the economy AND employee compensation (despite HUGE CEO salaries) has continued to be raped.

[bluescribbler]

1. Your last chart is particularly interesting.

The green line is almost a mirror image of the red line. Hmmmmm.

[fascisthunter]

2. republican voters just don't get it

they believe that if corporations are not taxed, that somehow workers will get a wage increase.... guess what dumbasses.... it never happens!

[TahitiNut]

5. As employee compensation (an expense) decreases, corporate taxes increase ....

... when the other variables (gross revenues, tax rates, etc.) remain constant. It's sheer idiocy to claim that increased taxes on profits somehow cause employees to be paid less ... the cause-effect relationship is EXACTLY the opposite. (It wouldn't be the first time mentally deficient right-wingers got cause and effect backwards. Wag the dog?) In fact, it could be argued that increased corporate tax rates actually lead to increased employment -- assuming businessmen would prefer to increase productivity through investment and larger payrolls rather than see profits get taxed.

[fascisthunter]

6. thanks for that

I tried posting a similar graph about a year ago on Craigslist's political forum and it got flagged then removed. There are plenty of republican trolls online who do know this info is dangerous to their agenda. Have I told you how much I hate fascists?

[Viking12]

3. Effective presentation of data.

K&R

[TexasObserver]

4. Recommend

[county worker]

7. Looks like we need more union organizing.

[aint_no_life_nowhere]

8. Where do those increasing corporate profits go?

Are there studies analyzing where the money goes? Are corporations investing it into expansion, R&D, new products, new jobs? Are they investing it in ever greater CEO bonuses who in turn are buying ever larger plots of land to build bigger and bigger homes? Are corporations investing this extra money in off-shore banks? Are they investing it in shipping jobs overseas and building factories in ever poorer countries where they can pay slave wages to the employees?

If this money just stayed in the banks at home it might at least be put to productive use by banks, lending it out to home buyers or car buyers. But I doubt that it is.

[TahitiNut]

9. When corporations spend money in new facilities ("investing"), it's an expense and reduces profits.

R&D still offers tax credits (afaik) so that't not just an expense that reduces profits but also additionally reduces taxes. After-tax profits go to owners (dividends) and into off-shore 'investments' as far as I can tell.

CEO bonuses and salaries are "employee compensation" -- again, an expense that reduce profits.

[TahitiNut]

10. For the night owls

:kick: