I wonder if she is including companies like Google, Apple and Amazon in the services category?
Google, Apple, and Amazon fall into different categories. Apple is mostly selling products, although this effort to get into the TV industry might fall into services. Google and Facebook are pure services. Amazon? They sell products but they don’t manufacture them....so they are mostly service industry.
But if you include them...then the question comes up...aren’t you taxing them in Europe already? And theses entitles aren’t typically bringing their profit back into the US...holding it as assets overseas? How exactly would you measure this?
Virtually every US service I know about in Europe...ends having to be registered and forced into paying taxes, so there’s limited money coming back into the US.
These companies have made the world market infinitely more complex. All the other countries want their cut of the pie in terms of taxes, licenses and fees. And of course employees.
The U.S was making money hand over fist from companies based in the U.S doing business with other than U.S buyers. They rushed and started demanding taxes. Manufacturers of durable goods where compelled to establish european factories.
The U.S could have sucked the world dry during the internet boom of the 90’s.
I’m pretty sure the services Merkel is talking about include lobbyists, lawyers, bankers and tax consultant.