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by marcosdumay 482 days ago
On #6, that's an individual income tax (or capital gain tax, depends on how you define things). Corporate income tax is the one that is applied independently of the money being invested on the corporation or distributed.

I'm don't think you should subsidize reinvesting in huge companies anyway. What do you expect to gain from them becoming larger?

It's much better (for society) to let them send the money back to shareholders so they can invest on something else.

1 comments

Reinvesting in the company is the one thing we should absolutely subsidize. That goes to wages, capital expenditure and other measures to sustain and grow the company.

Paying out dividends and doing share buybacks just strips the company for cash until there's nothing of value left. It's why entshittification is a thing.

Treating all wages as expenses seems fine to me. But have you noticed that large companies just stop growing at some point and it doesn't matter how much money you pour at them?

That is, unless they use the extra capital to buy legally-enforced monopolies, or bribe regulators out of their way.

And no, enshitification is a thing because people want those companies to grow and grow, and keep growing. Some times even after they have the majority of humanity as customers.