Evidence to support how Obama's tax plan will hurt the economy, page 1

Originally posted by nuffsaid420
In print this is awesome. The reason though that I have a hard time believing this would play out the same way here in America if we cut corporate taxes like they did in Ireland is this:

While some of Friedman’s suggestions are debatable (for example, that free college education is conducive to economic growth), he accurately describes two important aspects of the Irish transformation: [M]ake your corporate taxes low, simple and transparent; open your economy to competition …

Ok so how do you suppose with all the greed and corruption and lobbying in DC by the corporations that there would be a simple and transparent tax on these corporations? I'm sorry I don't see these guys becoming less greedy. Where ever they can make a buck... and look where that has gotten us already.

Also our economy is already open to competition, that is one reason Americans are hurting right now, the competition has moved in and are busy taking jobs.

I believe this could be a good idea for this country, I'm am just not seeing how this could logically be implemented over here in the US and not have some major problems.

Also there is no guarantee lowering corporate taxes will help a 21st century super power based on a program that worked in another country over 20 years ago, yes I know history repeats itself.

I just don't see anything simple or transparent from either side, why would they start now, in the last 8 years we have been put in the dark more than ever... and now with McCain we will see the light? Sorry can't buy it.

Well, let's examine those arguments. Yes, our economy is open to competition, but only to an extent. We have anti-trust laws in place which are supposed to prevent market abuse by one company.

I think you can safely say that the European Union is more "competition friendly" than the U.S. is, however. They favor giving everyone an equal chance even if one company produces the most stellar products on the market. Take Apple and Google for example. They won't ever have market dominance in Europe the way they do here in the states for that very reason.

So I agree with you that part of the reason this worked so well for Ireland was because their market philsophies were already geared toward a more competitive economy, they just lacked the capital to make it happen.

In the case of the U.S., however, I think what we're seeing is the edge of an economic transformation. Do we want to encourage foreign investment into our nation or stifle it? Foreign investors will pour far more money into the U.S. economy than the average U.S. taxpayer will if the rates are low enough.

Now if you raise the corporate tax rate and discourage companies from doing business overseas (offshoring jobs), then you discourage participation in the global economy, which is what we have today. I think that's truly a step in the wrong direction. McCain is right when he told Detroit, "The jobs are gone and they aren't coming back". That cost him the state in the primary, but he was telling the truth. Americans need education so they can acquire new jobs that open up in the states as a result of foreign investment into U.S. companies and new investments of foreign investments on U.S. soil.

So I guess it's a question of whether or not you believe that the U.S. ought to be participating more heavily in the global economy or not.