Corporate tax reform is all the rage in Washington and Wall Street, and the promise of lower rates has been used to help explain the historic rise in stock prices since election day. But while lower corporate taxes would certainly raise profits for American businesses, former Morgan Stanley Chief Economist Stephen Roach argues Monday in Project Syndicate that they would do little to help the average American or the broader economy.

Source: U.S. Bureau of Economic Analysis

Cuts won't cut it: Roach points out that Corporate America has been capturing a higher share of the national income ever since the Great Recession, yet these high profits have not encouraged businesses to increase investment in capital and equipment. They have, on the other hand, been distributing more money to shareholders.

The real problem, according to Roach, is sluggish consumer demand. Lower taxes won't get businesses to invest, but working to boost worker pay and spending power will.

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Updated 14 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Eniola Odetunde/Axios

  1. Global: Total confirmed cases as of 3:30 a.m. ET: 18,814,178 — Total deaths: 707,754— Total recoveries — 11,361,953Map.
  2. U.S.: Total confirmed cases as of 3:30 a.m. ET: 4,823,891 — Total deaths: 158,256 — Total recoveries: 1,577,851 — Total tests: 58,920,975Map.
  3. Public health: Florida surpasses 500,000 confirmed casesFauci calls U.S. coronavirus testing delays "totally unacceptable."
  4. Business: America's next housing crisis.
  5. States: Virginia launches contact tracing app using specs from Apple and Google.
  6. Cities: L.A. mayor authorizes utilities shut-off at homes hosting large gatherings
  7. Politics: White House, Democrats remain "trillions of dollars apart" on stimulus talks.
24 mins ago - World

Hiroshima mayor warns of rise of nationalism on 75th anniversary

Prime Minister Shinzo Abe (C) at the Memorial Cenotaph in the Peace Memorial Park during the 75th anniversary service for atomic bomb victims in Hiroshima, Japan, on Thursday. Photo: Philip Fong/AFP via Getty Images

Hiroshima's Mayor Kazumi Matsui on Thursday urged the international community to work together to defeat the coronavirus pandemic and warned against an increase in "self-centered nationalism," per the Washington Post.

Why it matters: He said at a remembrance service on the atomic bombing of the Japanese city that the 1918 flu pandemic killed millions as countries fighting in World War I were unable to overcome the threat together, per DPR. "A subsequent upsurge in nationalism led to World War II," he added. The U.S. bombing of Hiroshima on Aug. 6, 1945 and Nagasaki three days later contributed to the end of World War II, but tens of thousands of people died. At the service, Prime Minister Shinzo Abe lamented nuclear weapons' "inhumanity," but he didn't mention Japan's wartime past, WashPost noted.

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LeBron James on Trump NBA protest remarks: "We could care less"

The Los Angeles Lakers' LeBron James kneels during the national anthem before the game against the Oklahoma City Thunder in Lake Buena Vista, Florida, on Wednesday. Photo: Kevin C. Cox/Getty Images

LeBron James responded on Wednesday night to President Trump's comments calling NBA players "disgraceful" for kneeling during the national anthem to protest racism and that he won't watch games because of the action.

The big picture: Trump has repeatedly criticized sports players for taking the knee since 2016. But James said during a news conference, "I really don’t think the basketball community are sad about losing his viewership, him viewing the game." November's elections marked "a big moment for us as Americans," he said. "If we continue to talk about, 'We want better, we want change,' we have an opportunity to do that," he added. NBA Commissioner Adam Silver has said the league will "respect peaceful protest."

Go deeper: LeBron James forms voting rights group to inspire Black voters