Local Perspective: Lawmakers Lack of Economic Knowledge | Chroniclers
These saved dollars represent a leakage of the circular flow of money, thus weakening capitalism and decreasing the economic impact of the multiplier effect.
Additionally, when these dollars are paid to wealthy people or out-of-state corporations, those dollars are lost indefinitely from the income stream or circular flow of Nebraska money.
The hiring of Texas Uber drivers during the College World Series is an example of the circular money flow leak. This action prompted Senator Carol Blood to call for a moratorium on the practice.
Ricketts’ political demonstration, sending state soldiers to Texas at a cost of $ 500,000 to the state, would fall into the same category of “flight.”
To further illustrate, unlike Nebraska veterans or Social Security retirees, Bill Gates, Ted Turner or The Church of Jesus Christ of Latter-day Saints certainly won’t take advantage of their refundable tax credits for the. property tax relief and will travel to Ord to buy a pair of new blue jeans or a burger at the truck stop.
Or go through banks in Trenton, Burr, Louisville or Waco to apply for an operational loan.
Or stop by the Sandhills Boot Company in Cody to buy a new pair of cowboy boots.
Ask the state’s small business owners, “For jobs and economic growth, would you rather see a multimillionaire farmland owner or a multinational corporation get thousands of dollars in refundable tax credits or tax reductions?” tax, or would you rather see thousands of retirees and tourists wandering the surrounding streets with their extra disposable income from their Social Security and Veterans tax cuts? “