
Episode 2 – Milton Friedman Speaks – Myths That Conceal Reality (Podcast)
Free To Choose Media Podcast
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The Tax on the Employer Is Paid by the Employee
In connection with the current discussion of social security, this fiction arises. The part that the employer pays is part of his wage cost. If an employer considers whether it's worth his while to hire an additional worker, he has to consider not only what he pays to the worker, but also the extra taxes he will have to pay to the government. And thus impose is imposed on the worker. But again, if you look at the taxing corporate profits, the distinction you have to draw is between who writes the check and who fundamentally bears the cost. So business doesn't pay that tax. It may well be that an official of a corporation writes the check for the tax on profits, so called
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