Bush/Kerry thread

[cashmoney]

I'm not sure if there's a thread about them yet, but I figured I could start a new one if there is.


Ok, feel free to express you're thoughts on either politician and what you think about their politics. Personally, I think Kerry is playing dirty politics and trying to confuse people.

One of my main issues with this guy is that he's trying to confuse the stupid people out there about taxes, job creation and the current unemployment rate.

Current tax laws allow American companies to defer paying taxes on income earned by their foreign subsidiaries until they bring it back to the United States. If they keep the money abroad, they avoid paying U.S. taxes entirely.

Kerry would require companies to pay taxes on their international income as they earn it rather than being allow to defer it. The new system would apply to profits earned in future years only, not retroactively.

Kerry also would lower corporate tax by 5%. Kerry stated he would also create 10 million new jobs.

Ok lets examine why this is BAD FOR THE ECONOMY.
Lowering taxes on corporations .. thats good. More jobs will be created from that, as well as higher pay. Ten Million jobs is also good.. but is it possible. That many new jobs would send unemployment well under 3% thus causing eventually causing work shortages in areas. Higher pay would result in low skill jobs. OK your asking where's the bad... well higher pay for low skill jobs equals higher prices in products. Higher cost of living which results in MORE POOR PEOPLE. Which results in less customer demand. Which results in LAYOFFS.. thus unemployment is back. Unless you start shipping jobs overseas (like we are doing now).
Now taxing corporations that send jobs overseas will have a similar effect. It will not stop jobs from being sent overseas as these jobs are most likely low skill level jobs. What will happen is loss of jobs in the US as taxes are collected from those companies. Does the 5% tax cut out way this.. HELL NO. 5% off of what currently is 38%= 33% (estimate) But in dealing with the loop holes 33% of what is currently 0% =33%. In essence products sold in the US could see a rise in cost of producing DOUBLE possibly (not in all but some). Rising prices lowers customer demand. Lowering customer demand equals LAYOFFS. Thus creating MORE UNEMPLOYMENT.

Kerry isn't trying to help the American economy or the Americans. Kerry is simply trying to confuse you and gain votes. This stuff is BASIC ECONOMIC stuff.. that any sophomore in college should be learning.