Attacking U.S. Companies Does Not Help Competitiveness
Friday, August 29, 2008Companies, like lobbyists, are an easy target when it comes to political speeches. “Taxing corporations” unfortunately makes for a good soundbite. But, a good policy maker knows that it’s not that simple. That’s why it was disappointing to hear Senator Obama launch an attack on “big corporations, oil companies…and companies that ship jobs overseas.”
The reality is that these very companies that Obama wants to tax are major contributors to our country’s economic growth. American manufacturers provide well-paying jobs for employees, investment opportunities for shareholders and high-quality products and services for consumers. Today, more than ever, manufacturers compete in a fiercely competitive global marketplace. In recent years, our trading partners have lowered their corporate tax rates making it harder for U.S. based companies to compete. Raising taxes on these companies won’t make them more competitive and it certainly won’t create more jobs. At a time when the economy is struggling to recover - we need policies that help companies expand and grow. Lowering - not raising - the corporate rate would be a good first step.