Monday, July 13, 2009

It's always about Jobs!

I keep hearing from the left that the stimulus package will save us, but which stimulus package are they referring? The first one had almost no impact at all. The second one has bailed out State deficits for the moment. Now they are talking about a third one.

The right is saying no more stimulus packages, but they provide no clear direction. They talk about tax cuts, but with the enormous spending that has gone on since the turn of the century we only have so many options before our treasuries become junk bonds.

Why not have some real courage? Jobs are the only thing that will let us catch up to the runaway deficit. That means real jobs, not government jobs. Jobs created and supported by the capitalistic free market. So, you ask me; how can we create jobs in this economy without throwing money at it? The answer is simple - make this the most attractive place in the world to own a company.

0% corporate tax will make all the difference. Currently, corporate tax revenues account for less than 20% of the total taxes collected. That is less than the uncollected personal taxes. It is also far less than the amount of taxes which are illegally avoided. Think of it, the United States will once again be the best place in the world to base a global corporation. It will also bring jobs back to the U.S. in droves as money is repatriated.

Don't underestimate repatriated earnings. More jobs are lost to other countries because multi-national companies are financially forced to spend their profits over there versus bringing it back into the U.S. to be taxed. These numbers are greater than the overused complaint of cheaper wages. 0% corporate tax will repatriate money and bring back jobs. Imagine other countries outsourcing to the U.S....that would surely boost the economy by employing more people who will pay taxes...more than compensating for then lost tax revenue.

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