STEPS TO WRITE ESSAY 💡MAIN POINTS💡OVERVIEW

I. Introduction
A. Background information on lower taxes on firms
B. Thesis statement

II. Benefits of lower taxes on firms
A. Increased after-tax profits
B. Increased ability and incentive to invest
C. Expansion of output leading to higher employment and economic growth
D. Higher investment may increase innovation and productivity which may improve the current account
E. Reduced cost of production leading to reduced inflation

III. Drawbacks of lower taxes on firms
A. Firms might not invest more and just keep the profits to themselves
B. Government will get less revenue from firms, reducing ability to spend to improve the economy
C. May attract MNCs which may replace domestic firms
D. Capital goods may replace labour, causing unemployment
E. Higher output may result in external costs e.g. pollution

IV. Analysis of benefits and drawbacks
A. Comparison of benefits and drawbacks
B. Evaluation of the impact of lower taxes on firms on the economy

V. Conclusion
A. Restate thesis statement
B. Summary of main points
C. Final thoughts on the impact of lower taxes on firms on the economy.