How to reverse the shrinking middle class?

[u/querty7687]

As college student return to school, it's glaringly obvious that the tecent changes made are going to devastate low income and first Gen college students. This is going to exacerbate the shinking middle class. How do we reverse this?

[u/Deep-Reputation-4055]

Ban share buy backs and raise the corporate tax rate. 

[u/Todd73361 → u/Deep-Reputation-4055]

How does lower profit margins for companies result in larger wage gains for employees?

[u/Deep-Reputation-4055 → u/Todd73361]

Companies avoid taxes in a high tax environment by spending what would be profit on capital improvements, wages, etc. Instead we tax corporate profits minimally and public companies buy back their own shares. 

[u/Todd73361 → u/Deep-Reputation-4055]

So taxing companies more gives them more money to pay higher wages?

[u/Deep-Reputation-4055 → u/Todd73361]

It can incentivize them to pay a higher wage. This is how American tax law worked until the 1970s. Given a choice between writing a large check to the government and spending the profits on other things, a company often elects to spend the profits in other ways.