Monetary Realism

Understanding The Modern Monetary System…

Businesses Hire when they are Swamped with Demand: Part 26

Matt Y makes a good catch of what the Costco CEO thinks:

“Jim Sinegal from Costco really went further in most respects to emphasize the idea that higher middle class incomes are more important to his business than the tax rate paid by his executives.”

It’s clear many, many businesses do better when middle class incomes are higher – they get more sales, they have more stable sales even if corporate profits are lower overall. 

And lower tax rates on the executives of the company have absolutely nothing with the purchasing decisions made by the customers of the company.



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