The U.S. economy is doing quite well, with the Dow Jones Industrial Average closing above 17,000 for the first time in five years and the S&P 500 index hitting record highs.
That’s good news for investors who are buying stocks and buying bonds, but the real winners have been the top tier of corporate America.
These folks are the very people who have spent decades and billions of dollars to put America on a sustainable path to prosperity.
Here’s a look at the five most dangerous things that can happen when you invest in America’s top corporations.
The U-turn on tax reform The Senate is debating a massive tax cut bill that’s a massive win for corporate America, but it could actually make it harder for them to spend money on dividends and share buybacks.
The tax cuts, if enacted, would raise taxes on companies with annual revenues over $500 million for the next 10 years, and on the wealthy.
Corporations with annual revenue over $1 billion would see a 3.6 percent cut to their taxes in 2018, and corporations with annual sales over $5 billion would pay more than $1,000 per employee in 2018.
The bill also lowers corporate taxes on dividends from $1.3 billion in 2018 to $1 million.
That could cost American companies billions of tax breaks over the next decade, and if the bill doesn’t pass Congress, it could end up costing them billions more.
The Trump administration could easily reverse course on the bill and allow the corporate tax cuts to expire at the end of 2025, making the bill’s benefits far less substantial.
But that would leave corporate America with billions of new tax cuts that they’ll have to pay for themselves in 10 years time, and there’s no guarantee that those corporate tax breaks will be in the best interest of the country’s economic future.
The bottom line is that even if Congress were to repeal the corporate income tax cuts at the expiration of the decade, it would likely take 10 years to recoup all the money lost due to the tax changes.
So the tax cuts may be good for corporations, but they’re bad for the country as a whole.
The debt ceiling standoff The political battle over the debt ceiling has become one of the most divisive issues in recent years.
It’s been a contentious debate over whether Congress should raise the ceiling, or let it go to the floor and debate the issue over the summer.
In the end, the president chose the latter, and he’ll be the first sitting president to take office with a debt-ceiling increase.
The problem with raising the debt limit is that it would take money out of the pockets of Americans, and it’s likely to put the U. S. economy at risk if the country goes into default.
That would mean the country would need to borrow money to pay back the government’s debt, which would hurt the economy.
In an attempt to make the crisis go away, House Republicans have proposed raising the ceiling from $15.5 trillion to $20.5 billion, and Senate Democrats have proposed a plan that would raise the debt cap to $25.5-trillion.
Both proposals would allow Congress to debate the debt-limit increase, but none of them would be enough to get the debt reduction bill passed.
That means Congress needs to pass a debt relief package that would keep the debt from rising beyond $20 trillion.
That package could be the best way to reduce the debt, but lawmakers are still negotiating the details.
The Republican-controlled House has proposed $1 trillion in relief from the debt in exchange for a debt ceiling increase, and the Senate is considering a $2 trillion package that includes $1-trillions in tax cuts and a $1 percent cut in corporate taxes.
The government shutdown The federal government shutdown is an important time to pay attention to.
There are two big issues that can cause a shutdown, and both of them could be bad for businesses and the economy, depending on the severity of the disruption.
One is the debt and the other is spending.
If the debt increases significantly, it means that taxpayers are going to have to make up the difference.
The economy is already hurt by a lack of business investment, and many Americans don’t feel like they’re making enough money to spend on everything they need.
If those people are left without cash to spend, it’s going to hurt their spending power, making them more likely to be in a budget deficit.
The shutdown also has potential to impact the health care industry, which is an industry that relies on federal payments.
That includes Medicare, Social Security, Medicaid, and Medicare Advantage, which together comprise more than 80 percent of federal spending.
Those payments, which are based on a percentage of gross domestic product, are the most vulnerable industries to a shutdown.
If government spending stays at its current level, the U of A is forecasting that the budget deficit will grow from $17.3-trig-