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Unleash Prosperity Hotline
Issue #1213
03/03/2025
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1) The Case for Trump's 15% Business Tax Rate

In one of our first meetings with Donald Trump in early 2016, he wisely observed that America's highest in the world corporate tax rate was "like a tariff that we impose on ourselves."

His 2017 Trump tax cut reduced the U.S. business tax rate from the highest to the middle of the pack. See chart.

Trump is now pushing a 15% corporate rate for companies that make products in America. This is a good way to reduce "the tariff we put on ourselves." Instead of taxing other countries' goods more, we win by taxing our own goods less.

A Cato Institute study in early 2025 found that the Trump plan "would give America a lower corporate income tax rate than all but 5 OECD countries, put the US in the bottom third of all countries in the world, and undercut China's 25 percent rate (China is a non-OECD member)."
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2) BlackRock Goes Anti-Woke

In 2023 we began our "Politics Over Pensions ([link removed]) " report grading investment firms on whether they were supporting ESG policies, instead of getting the best return for their clients. We found that most big money management firms from State Street to Invesco were doing just that.

Putting the spotlight on the bad actors has paid off big time. Most firms in the last two years are scampering away from ESG and woke policies - in part to win back the trust of their clients.

One firm that has turned full circle is the investment giant BlackRock - with $11.6 trillion under management.

For many years, Larry Fink was the very face and voice of ESG and DEI initiatives.

No more.

The headline on this WSJ story says it all:
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BlackRock has decided to:

* Withdraw from the Net Zero Asset Managers initiative, which was focused on getting investment firms to support net zero greenhouse gas emissions by 2050. (Many other firms have now also withdrawn.
* Remove references to diversity, equity, and inclusion from its annual report and is not publishing a breakdown of its employee base by gender and ethnicity.
* Discontinue ESG exchanged-trade funds - after starting 30 in the previous five years.
* Reduce its support for environmental and social shareholder resolutions to 4% from as high as 40% in 2021.

We won't rest until every major firm renounces ESG and honors their fiduciary duty of securing high retirement returns for their mom and pop clients.
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3) Must See TV: Bill Maher, Fareed Zakaria, and Rahm Emmanuel Agree that Progressives Ruin Cities

If you had the time, you should watch this video. These guys must be reading the HOTLINE:
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4) Warning: Don't Let the IRS Do Your Taxes

The same liberals railing that Elon Musk's DOGE team accessing payments systems means he'll steal your information, want the IRS to do your taxes for you. It's a never-approved-by-Congress program called "direct file" that is a waste of tax dollars, since private-sector tax prep companies have offered free versions ([link removed]) to anyone with income under $83,000 for over 20 years.

UP co-founder Steve Moore and former longtime Senate and Treasury staffer Jim Carter explain:

Direct File is the brainchild of Elizabeth Warren and Joe Bankman, the father of Sam Bankman-Fried. Ultimately, their goal is to have IRS bureaucrats prepare taxes for people, and then simply send them a bill...

It's a conflict of interest of the highest order... The agency charged with extracting every possible penny for the federal bureaucracy cannot be impartial and get you -- the taxpayer -- every dollar you're owed in your refund.
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5) California Learns an Economics 100 Lesson the Hard Way

California is the fast food capital of the world with more than 70 percent of residents eating drive-through food each week. So it was a grand progressive experiment when a year ago the state raised its minimum wage for its 700,000 fast-food workers by a full quarter to $20 an hour.

The numbers are in on this union-sponsored experiment to help workers. It flopped.

A study from the private Berkeley Research Group found that California's $20 minimum wage hike for fast food workers raised prices by 14.5% - nearly double the national average. It also caused the loss of 10,700 jobs.
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High minimum wages destroy jobs for the poorest and least skilled workers, and somehow Californians think that's "fair."

Word of warning: don’t try this in your state..
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6) Oh for the Good Old Days

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