yet we have the highest marginal tax rate in the world. the average marginal tax rate is 25%.Hey, I agree! Although I see things like pay and benefits and the cost of business expansion as already being legitimate businesses expenses that are already being taken, along with things like rent, depreciation, utilities, COG, advertising, etc
I would be convinced about "regulations" harming our economy, as long as someone could tell me what those regulations are. I've been asking this question for years, and no one has been able to actually tell me about any specific regulations that are unneeded and overly burdensome to business (other than Obummercare of course). Is it about the law that says that businesses have to have battery backup emergency exist lights? Is that the one? Or is it that one that doesn't allow managers to whip their employees with wet towels?
You may prove me wrong, but I think that most of the reason corporations don't "bring back money" has little to do with taxation, and almost everything to do with the fact that they don't really need the money in the US. Businesses only expand when they think that there is unfulfilled demand. Give business some reasons to think that demand is increasing, and they will expand. Tax cuts for the worker/consumer class would be a good start because that would be instant extra purchasing power in their pockets.
..
EPA rulings and other things that Obama has tried to push through has a heavy price on businesses...
so it isn't worth it for them to bring it back even though most of them would like to.
??? We are in one of the longest economic expansions in US history! What are you talking about?
Specifically, which EPA rulings? And regulations only started harming our economy under Obama? This never happened before?
How do you know they would like to? What would they do with this money, just add it to their American bank account? What good does that do anyone?
Just like I said, "short term growth". This will end and when it does, it will be another disaster...
it only hurts when an economy is trying to recover and you keep hitting it with a hammer.
sure other presidents have pushed business regulations but not as cost heavy as Obama.
that 172 billion dollars could have gone elsewhere instead of doing what Obama thinks they should do.
There was an article just today that the mayor of the town where apple sits is complaining. apple has a ton of money offshore that they would like to
bring back but they are not going to do it because they have to pay 35-40% tax on it.
Why is it going to be another disaster? Our current growth is slow and steady, it's not driven by any bubbles like the Clinton or Bush economies were. Do you have any specific reason for thinking that it isn't sustainable for decades?
Well the real estate market is turning into another bubble, we have a massive amount of student loan and credit card debt and we have abysmally low savings rates. These are all the results of short term gain with long term loss. Without a major change in these problems, when these chickens come home to roost, it's going to be bad.
Other than the student loan debt, I'm not at all sure that we have more debt than we did a few years ago. I thought read that consumers have be deleveraging, which is why we have weak demand, but maybe I am mistaken about that.
The best way to "cure" all this consumer debt might be to stop income disparity from continuing to grow.
During the mid 20th century, all income classes grew in income at about the same rate. And until the mid 1970's, every generation in America had a little better standard of living than the previous generation. Income disparity started growing in the mid 1970's because the real wages of the bottom 99% stagnated while the top 1% started to become richer at a faster rate than ever. I believe that today's middle class has taken on so much debt as a way of temporarily resolving mis-distribution of income - thus allowing each generation to still have a better standard of living, even if they didn't have as good of a financial position as early generations.
Debt is the best measure for income and wealth mis-distribution. If one person has more money than they need they will seek to lend it, and if someone else has less than they need they will seek to borrow, the two come together and create a mutually beneficial transaction. but that's my own personal little theory, probably no one agrees with me.
So no comments about the biggest issues we're facing - the real estate bubble and student loan debt, just the usual liberal myopic focus on one or two issues and ignoring the real problems??
The growth model is tapering off, the writing is on the wall. ...
I haven't heard that we are in a real estate bubble. I'm not saying we aren't, I'm just not aware of that. Just a few weeks ago I got a very disappointing appraisal on some property I am having to refi. Prices certainly aren't in a bubble around my parts.
For a number of years now, student loans have been made directly by the government, and the amount of debt is seriously exaggerated. People exaggerate their student loan debt to gain sympathy. So exactly how is student loan debt a bubble that could burst? What would burst? And if it did, exactly how would it harm our economy? Seriously, I don't understand this to be a real issue.
Conservatives like to have their boogiemen. If there isn't a real boogieman just around the corner, they will make up a boogieman. Ebola, Mexicans, Muslim terrorists, hyperinflation, "Obummers gonna take our guns", government default, vaccinations, forced micro chip implants, death panels, bird flu, SS is bankrupt, etc.
- The total outstanding student loan debt in the U.S. is $1.2 trillion, that’s the second-highest level of consumer debt behind only mortgages. Most of that is loans held by the federal government.
- About 40 million Americans hold student loans and about 70% of bachelor’s degree recipients graduate with debt.
- The class of 2015 graduated with $35,051 in student debt on average, according to Edvisors, a financial aid website, the most in history.
- One in four student loan borrowers are either in delinquency or default on their student loans, according the Consumer Financial Protection Bureau.
This article has got me thinking.. How do you guys believe growth can be restored?
Getting past slow growth | Brookings Institution
Growing inequality, stupid political decisions, fear mongering over government debt, (all while private sector debt is ignored) stagnant wages, austerity measures, automation, a lack of aggregate demand... Things aren't looking to good. I find myself liking the authors outlook, although it will depend on governments making the right decisions. Countries need to focus on boosting demand, and tackling stagnant wages/inequality. What do you guys think?
I'm not so sure that economic growth is really what we should be striving for. The earth is finite. Growth, theoretically, is not, so there has to be a point where it stops. In economic terms, we should be raising the floor rather than the ceiling, and in general terms, focussing on the happiness and wellbeing over economic consumption and output.
You silly liberals, all about happiness and well being. I suppose you are talking about the same thing that Northern Light brought up in post 35.
Can you explain what the issue is? Are we running out of something?
This article has got me thinking.. How do you guys believe growth can be restored?
Getting past slow growth | Brookings Institution
Growing inequality, stupid political decisions, fear mongering over government debt, (all while private sector debt is ignored) stagnant wages, austerity measures, automation, a lack of aggregate demand... Things aren't looking to good. I find myself liking the authors outlook, although it will depend on governments making the right decisions. Countries need to focus on boosting demand, and tackling stagnant wages/inequality. What do you guys think?
Actually, Nilly's point was my first thought as well. "Growth", like "efficiency" is a nice little catchphrase that economists tend to forget is a means to an end, not an end goal in and of itself. I view the end goals as increasing opportunity, ensuring household economic security, general economic stability, and bolstering an open market for everyone's participation--all things the US could use some work on.You silly liberals, all about happiness and well being. I suppose you are talking about the same thing that Northern Light brought up in post 35.
Can you explain what the issue is? Are we running out of something?
Things aren't looking to good. I find myself liking the authors outlook, although it will depend on governments making the right decisions. Countries need to focus on boosting demand, and tackling stagnant wages/inequality. What do you guys think?
Simple...end the Fed (let the free market establish interest rates as it did before 1913), balance the budget and get the government to stay out of the economy.
I said simple, I did not say it would be easy.
And if you are a Krugmanite, the solution is...MORE MONEY...LOTS AND LOTS MORE MONEY (macroeconomics for the weak/ignorant).
Wow, just what this forum needs.
ANOTHER thread that advocates " stimulus to increase aggregate demand "
Lemme guess. MMT? Helicopter money? Che Guevara merchandise?
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