The GOP's Favorite Lies About The Jobs Market

September 19, 2011 3:59 pm ET

What should government do to spur job creation? That's the central question for American political leaders today, and as Republicans reject Democratic answers, it's important to hold their arguments accountable to economic facts. When it comes to the two central planks of the GOP's economic platform — that "uncertainty" about taxes and regulations is the cause of slow hiring, and that increasing high-end tax rates will hurt job-creating small businesses — the facts and the data disagree. According to businesses and economists alike, it is weak demand and not "uncertainty" that's preventing hiring. And when the GOP claims small businesses are in the crosshairs of top-end tax hikes, they are counting "pass-through" shell corporations used by authors, athletes, and industrial giants alike. In fact, just two percent of those who report business income on their individual tax returns are counted in the top federal income tax brackets.

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