Mike the Mad Biologist:
Supply-side concerns, even as corporations are sitting on $2 trillion cash? Of course.Now it is perfectly possible that there are distributional issues here that would make for a targeted plan. But, in general, if there were great investment opportunities for any firm or skill-set then you'd expect that cash hoarding would be less.
If there are specific areas that need to be boosted, this suggests a redistribution instead of a pure cut. Sure, there could be other reasons for cutting rates but they sure aren't due to a lack of capital overall, if the corporate cash holdings are remotely accurate (that's more than $5000 per person in the United States -- this is a lot of idle capital).
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