economic patriotism

Hey, Barack Obama, businesses are moving overseas because of a terrible tax climate made worse by you

There’s been a lot of talk lately from President Barack Obama and administration officials about “economic patriotism.” They say that corporations shouldn’t be allowed to move overseas to escape paying the corporate income tax.

“Even as corporate profits are higher than ever, there’s a small but growing group of big corporations that are fleeing the country to get out of paying taxes,” President Obama said at a stop in Los Angeles on Thursday. “They’re keeping, usually, their headquarters here in the U.S. They don’t want to give up the best universities and the best military and all the advantages of operating in the United States. They just don’t want to pay for it. So they’re technically renouncing their U.S. citizenship.”

Earlier this month, President Obama suggested that Congress (read: Republicans) lack “economic patriotism” to work with his administration on issues the country faces. Treasury Secretary Jack Lew dropped the same term in a letter to Senate Finance Committee Chairman Ron Wyden (D-OR) as he urged Congress to pass legislation to end corporate inversions.

“What we need as a nation is a new sense of economic patriotism, where we all rise or fall together. We know that the American economy grows best when the middle class participates fully and when the economy grows from the middle out,” Lew wrote in the letter to Wyden. “We should not be providing support for corporations that seek to shift their profits overseas to avoid paying their fair share of taxes.”

Hey, Leftists, “economic patriotism” should mean getting government out of the way for business owners to succeed

Business owners will do anything to make sure their businesses are successful.

A strong feeling of apathy, sometimes, is the natural consequence of having experienced too many obstacles in the process of getting your idea off the ground. Every now and then, would-be entrepreneurs become frustrated and walk away. Others end up looking for diverse, creative ways of getting around what they deem too complicated.

What all business owners have in common is the urge to make things happen: a kind of acute dedication harbored only by people fired up by a strong sense of purpose. They are everywhere, from your favorite food truck’s owner to Tesla Motors’ Elon Musk. They will go to great lengths to get things done.

While on my trip to Detroit for a series of panels and interviews facilitated by the Virginia-based Franklin Center, I had the opportunity to talk to the owner of a small tavern in the downtown area known as Greektown.

The Firebird Tavern, Tony Piraino said, had gone under a series of small changes to its structure to please the ever-changing city health codes. Every now and then, the city’s health inspector appears to come up with a new thing the owner must do to make sure the place is up to date with the local regulations if he wants to continue to operate legally.

The latest changes, however, cost Mr. Piranio a couple of thousands of dollars. A quantity of cash not all small business owners have at their disposal with ease. And what was so pressing that needed such an urgent change? The doors inside of the tavern, which is housed by a Victorian style building with creaky wooden floor and charming, thick, exposed brick walls, needed panic bars. Were the doors not opening and closing before that just with a slight push?

Today in Liberty: Obama’s Treasury secretary wants forced “economic patriotism,” Ted Cruz backs Justin Amash in Michigan primary

“People acting in their own self-interest is the fuel for all the discovery, innovation, and prosperity that powers the world.” — John Stossel

— Treasury secretary wants to force “patriotism”: Treasury Secretary Jack Lew has penned a letter to Senate Finance Committee Chairman Ron Wyden (D-OR) in which he called on Congress to pass legislation that would discourage American-owned businesses from moving their operations overseas to more friendly tax climates. “What we need as a nation is a new sense of economic patriotism, where we all rise or fall together. We know that the American economy grows best when the middle class participates fully and when the economy grows from the middle out,” Lew wrote in the letter to Wyden. “We should not be providing support for corporations that seek to shift their profits overseas to avoid paying their fair share of taxes. I hope that you will support these legislative initiatives to reverse the trend toward corporate inversions.” The U.S. has the highest marginal effect corporate income tax rate of any of the 33 member countries of the Organization for Economic Cooperation and Development (OECD), according to the Tax Foundation. That’s the reason why businesses are moving overseas. Corporate inversions “hollow out the U.S. corporate income tax base,” Lew says, which is the real reason why the Obama administration is trying to get Congress to act. Businesses act in their own self-interest, and there’s nothing wrong with that. They shouldn’t be compelled to stay in the U.S. by some Orwellian sense of “economic patriotism” when the problem here is a broken tax code that discourages investment.


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