Friday, March 25, 2011

GE stands for “Gravy Express”

Actually, the exploitation runs in several mutually advantageous directions – none of which benefit the taxpayer, as Conn Carroll points out in this article:
We’re sure there was no quid pro quo between Rangel and Immelt. That would be bribery, which is illegal [ “Ha,ha!” the author failed to add – Paco] And there is nothing illegal about lobbying or giving to charity. In fact, in our current system, it is hard for a capitalist to compete without “investing” in politics. The U.S. corporate tax rate is the highest in the world at 35 percent. If GE did not have a Washington office dedicated to lobbying for benefits from the government, over the last five years it would have had to pay somewhere around $9.1 billion in taxes on its $26 billion in American profits alone. Instead it got a $4.1 billion benefit. That is a $13.2 billion payoff on a $200 million lobbying investment. What kind of capitalist could say no to that kind of return on investment?

When once-great exemplars of capitalism like GE are profiting more by investing in lawyers and lobbyists in Washington instead of engineers and innovators, our system is clearly broken. We can start to fix these incentives by reducing the corporate tax rate. But much broader reform of our tax and regulatory system is needed.
Not to mention the absolute necessity of ridding ourselves of capitalist rope salesmen.

H/T: Instapundit


bruce said...

Some small good news - Here in New South Wales Australia we had a state election today. And right now we are watching the local leftists - Labor, Green and Independent - get electorally wiped out. Happy times!

People are finally seeing through them. And its earth hour too - rich irony.

Paco said...

Splendid news! I give you joy in your victory.

carpefraise said...

Off topic I'm afraid Paco, but too good to not let you know:

A beautiful gesture by one of the world's most beautiful women:

Robert of Ottawa said...

I now work for a large international technology and do not like this crony capitalism.

Robert of Ottawa said...

I now work for a large international technology COMPANY and do not like this crony capitalism.

Robert of Ottawa said...

Further election news!!!!!

Canada is now starting another Federal Election - the fourth in 7 years. We're getting as bad as Italy!!!

The problem is that the separatist Bloc Quebecois controls most of the Quebec parliamnetary seats and thus these are out of play for the other Federal parties in Quebec. This means that an absolute majority must be achieved with only 75% of the vote and seats.

That means an enormous voting majority in the ROC (Rest of Canada).

But, from the last constitutional crisis, where the NDP, Liberals and Bloc signed a formal coalition agreement (which is still in effect until June this year) in a bid to depose the Conservative government, that was only elected a month previously. In fact, it was the combination of these parties that brought down the current government.

None of these losers have a hope of forming a government, so if another Conservative minority government is voted in, then they will immediately be deposed by the coalition of losers, who will then ask the Governor General (Queen's representative in Canada) to be allowed to form a government.

The choice is stark: A majority Conservative government or a Coalition of Losers!!!

BTW Congrats Bruce! Australia doesn't deserve socialism.

Robert of Ottawa said...

Some election predictions:

Paco said...

Robert: My word! If it gets much more complicated than that, it will verge on the Australian.

Anonymous said...

Carpefraise - I remember when La Liz did that. Few in Hollywood now would actually put their money where their mouths are.

Anadmirable woman in many ways.