Hey, conservatives: I'll trade you the corporate tax for a tax on pollution

Let's incentivize the right things

UPS
(Image credit: (AP Photo/Kevork Djansezian))

James Pethokoukis argued here at The Week that we shouldn't be surprised when corporations relocate abroad to avoid corporate taxes, and makes the case that the corporate tax should, in fact, be abolished:

Workers bear 70 percent of the corporate tax burden, according to the Congressional Budget Office. American Enterprise Institute economists Kevin Hassett and Aparna Mathur have found higher corporate taxes lead to lower wages, with a 1 percent increase in corporate tax rates associated with a 0.5 percent drop in wage rates. No wonder the OECD found corporate taxes to be "the most harmful for growth" of all taxes. [The Week]

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John Aziz is the economics and business correspondent at TheWeek.com. He is also an associate editor at Pieria.co.uk. Previously his work has appeared on Business Insider, Zero Hedge, and Noahpinion.