Posted on 05/11/2009 9:16:31 AM PDT by Bodhi1
What does selling panties have to do with corporate income tax rates? Sam understood that if it cost a customer less to do business with you than a competitor, you would attract a lot of customers. The United States can apply the Wal-Mart strategy and achieve the same results.
According to The Tax Foundation, the "average combined federal and state corporate tax rate in the U.S. is 39.3 percent, second among OECD countries to Japan's combined rate of 39.5 percent." It costs a company in America more in taxes than almost anywhere else. That doesn't make the U.S. very attractive to new businesses. Given the opportunity to build in a high taxation vs. low taxation environment, where would you put your new factory?
(Excerpt) Read more at americanissuesproject.org ...
“Given the opportunity to build in a high taxation vs. low taxation environment, where would you put your new factory?”
Certainly not here.
Hey. Selling them is easy. It it GETTING them that is hard...:)
If your company is not a multi-national, which most aren’t, it’s moot point.
We are going to find out real-quick-like just how unattractive the US is going to be to invest in and start new business in when the taxes go through the roof.
The Obama Administration doesn’t want any new businesses started - they threaten union-dominated dinosaur companies and, in turn, the Democratic Party’s cash flow.
The bigger problem is that there are already too many factories.
The world has global manufacturing overcapacity. Excess Capacity.
The Market responds to overcapacity by lowering prices until there are no longer *any* excess manufacturers left standing.
Deflation.
Massive wealth destruction.
Anyone building or funding a new factory during a deflationary correction is burning money. Building new factories is the ticket to self-destitution right now.
Self-impoverishment.
Building factories during deflation (broadly falling prices) will bankrupt you.
The old agage that the path to wealth is through “building factories and making things” leads to ruin when prices are falling.
It’s as if some people can’t grasp that having too many factories is even possible...
obama is actually more about hobbling the USA. It is ala “altas shrugged” with the equalization of opportunity act where the productive are hobbled to protect the unproductive.
IOW Obama seeks to cripple the usa in order to give the socialist parts of the world protection from our productivity. see Kyoto, see GE cap and trade
During the presidential campaign this question came up in one of the debates. Obama claimed that although the nominal corporate tax rate is about what is stated in this article, there are so many loopholes that the effective rate is one of the lowest in the world. Not being a corporation, I have no idea if this is true.
True. He is, and was an anti-capitalist Marxist. This is no surprise.
I am not sure either.
Given what the government has done and its lack of willingness to cut any spending anywhere, there is no way to avoid personal taxes, corporate taxes, or both from going up. The question is, what balance of taxation will allow economic growth to eventually happen.
Only in the short run.
ping.
Do you just cut and paste your posts? Also, did you notice no one ever seems to reply. What is going on? No sarcasm meant, I am just noting a pattern.
This is too simple and clear. Liberals and the liberty hating anti-free trade crowd will demand a more complex and obscure example that confuses the issue and just leads to contention.
***Sam (Walton)understood that if it cost a customer less to do business with you than a competitor,***
Many years ago, 1957, my dad took us kids to Bentonville, Ark. We kids bought a couple of cheap items at a store on the NW corner of the square.
We then went into Walton’s 5&10 on the West side of the square and found a couple of items. As we were being checked out by Mrs. Walton she noticed our sack with the other items in it. She said, “I wish you had bought that here. We could have given you a lower price!”
Less is more? ;-P
Now, on to read...
Even back then, Walton’s 5&10 was driving the Moms and Pops out of business!
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