Saturday, July 26, 2014

Obama: U.S. Should Embrace an Economic Patriotism That Says We Rise or Fall Together

Obama: U.S. Should Embrace an Economic Patriotism That Says We Rise or Fall Together

President Barack Obama speaks about the economy at the Los Angeles Trade-Technical College in Los Angeles, Thursday, July 24, 2014, on the final day of his three-day West Coast trip. Striking a populist stand ahead of the midterm elections, Obama is demanding "economic patriotism" from American corporations that seek overseas mergers to avoid U.S. taxes. Obama and congressional Democrats are pushing to severely limit such deals, a move resisted by Republicans who argue the entire corporate tax code needs an overhaul. (AP Photo)

President Obama sure has a lot of nerve.  He complains about corporations going overseas to doge having to pay their "fair share of taxes".  So they take advantage of the loophole in order to dodge taxes so they can move their headquarters overseas.  He says that's unpatriotic and that when they move overseas in order to not to have to pay their fair share of taxes it adds to the deficit.  That's not true.  And if it was partially true, you have Obama and all his minions to thank for that.  The reason why they deficit is as high as it is because Congress and the President have been grossly overspending for the last few decades.  Don't blame it on the corporations.  Also,  our government doesn't help when it comes to their policies towards business.  Their policies do nothing but encourage businesses to move overseas.  I want to say that the corporate tax rate is only part of the problem.  The biggest problem is the copious amounts of regulations that are placed on businesses each year.   That greatly impacts the operating costs of business.  I do recognize in certain aspects there has to be limited government regulation, but there's a fine line to be drawn there.  Regulations should be for the purpose of safety reasons or to prevent fraud and abuse.  Consequently, there are numerous regulations that are added to businesses from the EPA and other Congress that aren't beneficial but can result in that businesses hiring fewer employers, and reducing their wages and benefits to their employees already working.  Also, the so-called free trade agreements passed by Congress such as NAFTA and CAFTA hasn't been a help to American businesses, either. 

I, for one don't like seeing corporations moving their headquarters overseas.  But you can't raise the costs of operating a business and not expect corporations to find a way to dodge having to pay extra taxes.  They're about survival.  They will do what it takes to keep their business afloat, even if it means moving overseas.   The answer is for the government not to meddle with business in areas it has not business meddling in.  It just makes sense.

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