I thought you'd appreciate this:
ut is that because the company is engaged in some type of corporate tax dodge, as Obama likes to pretend? Uh, no, it seems that Americans are using less paper as they transition to a digital economy, while there is a growing demand for paper in developing countries.
Should International Paper stay land-locked — or insourced, to use the president’s term — to avoid the extra taxes and accusations of being unpatriotic?
Yes, some U.S. companies produce their products overseas in order to take advantage of lower labor costs — i.e., comparative advantage. But that means U.S. consumers get cheaper prices. You’ll notice no one complained when gasoline prices recently fell, even though much of that oil is produced overseas. The public was elated because lower gas prices means more money left over to spend on other wants and needs. Well, the exact same reasoning applies to manufactured goods, raw materials and other products and services that U.S. consumers buy for less because of lower foreign costs.
Companies 'Outsource' Because That's Where The Sales Are - Forbes
Notice taxes are not the reason.
