The most dangerous myth is the demagoguery that business…
““The most dangerous myth is the demagoguery that business can be made to pay a larger share, thus relieving the individual. Politicians preaching this are either deliberately dishonest, or economically illiterate, and either one should scare us. Business doesn't pay taxes, and who better than business to make this message known? Only people pay taxes, and people pay as consumers every tax that is assessed against a business. Begin with the food and fiber raised in the farm, to the ore drilled in a mine, to the oil and gas from out of the ground, whatever it may be -- through the processing, through the manufacturing, on out to the retailer's license. If the tax cannot be included in the price of the product, no one along that line can stay in business.””
About This Quote
This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.
The claim that businesses can bear higher taxes to relieve individuals is false; taxes are ultimately paid by consumers at every stage of production.
In simple terms: Businesses can't shift taxes fully to consumers; people pay them.
Key Takeaway
Recognize the real tax burden on consumers.
Themes
economics
tax policy
political rhetoric
Mood
critical
analytical
Type
political
economic
When to use this quote
- budget planning
- policy debate
- consumer awareness
- business strategy
Key Concepts
public finance
consumer pricing
government responsibility
Questions to Reflect On
- How do taxes affect product prices?
- Can businesses truly avoid tax burdens?
A Different Perspective
Businesses may attempt to hide tax costs, but market competition limits price increases.