Meme workshop: response to conservatives who say corporate tax hike will be passed on to consumers

[yurbud]

I heard Neal Boortz talking about this on Thom Hartmann recently, and superficially, it makes sense: businesses will pass on their costs to their customers.

Conservatives pretty much flat out say that any increase in corporate taxes will be passed 100% to consumers. That might be true if the business was breaking even before taxes, but we are taxing PROFITS. Further, the business has to take into account what the market will bear, and even if their competitors are paying the same tax and price their products accordingly, they could make their product too expensive for their customers.

If someone knows studies about how much of those taxes are passed through, I'd be grateful for the links.

The other part of the corporate tax argument is that it will chase jobs overseas where costs are lower. That may be true in the case of manufacturing, but what about retail? They can't move your neighborhood Walmart to Bangladesh and get your money. They have to stay there.

Likewise, when an oil, coal, or lumber company takes from public lands, they should be paying us a percentage of fair market value, not the chump change they give us now.

Can someone boil this down to something as simple as the GOP talking point?

[bbinacan]

1. Bottom line is

that all costs are eventually passed to the consumer no matter what form they come in. Taxes, cost of raw materials, fuel, etc.

on edit: I hate the word meme.

[mrreowwr_kittty]

2. Prices are driven by the market, not taxes.

Supply and demand. Raise the prices so much that people aren't buying what you're selling will lead to an excess in supply, then you'll lower prices.

[silverlib]

3. I'm still waiting for Exxon's 40B to triggle down (eom)