We are going to get this too complicated by addressing two different problems. While there may be some overlap, monetary issues and what to do about outsourcing jobs are two different things. Outside of the financial industry I've not heard many stories about businesses in general handing out huge new salaries and bonuses.
Here are some of the year's big winners:
1. William R. Johnson, Chairman and President, H.J. Heinz. Bonus: $8,589,063, up 17.6 percent.
Top CEO Bonuses of 2010: Heinz, Oracle, Cisco, Nike and Rupert Murdoch of NewsCorp. - ABC News
2011 Executive PayWatch
Feel free to expand upon that.
China controls their economy. To have more control, we would have to be more like China. Not sure we want that.
Too general of a statement. Commodities are going up far faster in many cases than these other considerations. Is this a bakery? With the huge increase in wheat prices can you not see where your scenario would have to be done to remain in business? People cut back on their purchases. Business then has less reason to hire.
We've linked before what business does with tax cuts.
Summation:
Although we would expect tax cuts to bolster the economy, empirical evidence shows that they typically don't. Tax cuts to the rich are more likely to promote investment bubbles than job creation. Tax incentives to corporations frequently promote job destroying choices, or simply become handouts to the executives and the investors.
why tax cuts don't create jobs
Florida has the fifth lowest corporate income tax rate in the country at 5.5 percent, trailing only South Dakota, Alaska, Wyoming and Nevada — states hardly in Florida's league. Yet Florida's unemployment rate remains far higher than the 9.1 percent national average. Recently, both a Tax Foundation study and University of Central Florida economist Sean Snaith have argued that reducing taxes has no discernible impact on job growth.
It's not hard to find evidence to support such a view. Other states with much higher corporate tax rates — Connecticut, New York, Illinois, Massachusetts, New York and New Jersey — all enjoy significantly lower jobless numbers, as well as hosting the corporate headquarters of many more Fortune 500 companies per capita.
Tax cuts don't create jobs - Tampa Bay Times
I usually just give the first two or three, but tohers have been posted. What can be done, and what is done are two different things.
GM is a piss poor example as they have been run incompetantly for decades. Before this decade is out we will have headlines again about what is to be done about GM. But you are also talking government subsidies as opposed to tax breaks in your scenario. I am against them for businesses. If you create a tax break you are allowing someone to keep more of their own money. If you subsidize them you are creating a new welfare program.
They are that,. but not uncommon as to what is done with our appeasment of business.
And while I agree with you that one may be worse than the other, we curently do both. And when you lower their taxes, which largely doesn't amount to enough to actually make a major difference even if used, you have to have some evidence that they actually hire people. That evidence doesn't really exist. The evidence is all over the board, and u=suggests that other factors, not taxes, play a far larger role.
That's right. Without taking control, government can do very little. And I suspect neither one of us wants the government taking control.