How will this create higher deficits? Assuming nothing changes with Apple manufacturing, a 15% tax on $250B is more than 35% of $0B.
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Donald Trump Tells Tim Cook He'll Offer Apple 'Very Large Tax Cut' to Make Products in America
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How will this create higher deficits? Assuming nothing changes with Apple manufacturing, a 15% tax on $250B is more than 35% of $0B.
Looking forward to Trump blowing up some of the bad deals the swamp put in place over the last 20yrs.
LOL at Gore at 12-13 mins. Nice trade surplus we have there now eh Gore?
LOL at Gore at 12-13 mins. Nice trade surplus we have there now eh Gore?
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Are you accusing Apple of not making money in the US market or not paying taxes on it?
I'm not accusing Apple of anything. I'm saying that Apple has approximately $250B offshore that the US cannot tax. It is getting $0B dollars in tax revenue of those funds. If Trump lowers the rate to 15% and Apple brings the money back, regardless of what Apple does with the the money, the US gains $37.5B in additional tax revenue. It will lower the deficit not raise it.
Apple wouldn't bring it all back to the US, likely very little of it. But I do get your point.
I disagree. This is found money for Apple. It is actually doing nothing right now where it is. It will all come back. Worst case, Apple will give it to shareholders in the form of a one-time dividend. Even if they don't open any manufacturing plants, or pay a dividend, it can be used for some strategic acquisitions. I really think they should buy Disney and jumpstart their content and TV aspirations. Right now, they are losing the war. AT&T gets it with the acquisition of TW. Content is king. They cannot do an acquisition of this size without a lowered tax rate.
You mean, like the Chinese probably have already done at Foxconn? (At the least, I bet they keep the encryption seeds.)
People like the ones who assembled Moto X's in Texas. Or a million other mass production products still made in the US, from soup to nuts.
Watch the "How It's Made" show sometimes, along with "Undercover Boss".
You want Apple to ruin Marvel and Star Wars in one swoop?
Who says they have to change a thing? Let it be an independent subsidiary. Just get all the content and push it over Apple TV. It might be too late as competition has passed it already.
Don't forget Laurene Jobs is still the largest shareholder at Disney.
If not Disney, Apple could make some major acquisitions. How about Tesla for $50B? Adobe?
I don't think Tesla will sell, and Adobe selling would make me cry because Apple would probably do some amazingly non-competitive moves to make up for their mediocre offerings in the desktop arena.
I'd say they need to go after some display maker, somebody who could help them either make their own x86 chip or a good x86-to-ARM emulation layer. Apple needs to focus on making the products they're making great again.
What doesn't make sense is someone supporting free trade while opposes to open borders. It's like saying "you have to buy my product, but your people can't become a citizen here". It sounds pretty anti-libertarian. USA couldn't ever have entered the cold war with such discourse.
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Lol....trickle down has never worked anywhere. It's only a theory.
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False logic. Just because Apple made the most profits doesn't mean they paid the most taxes. There are all kinds of loopholes available to large companies like Apple.
Trickle down economics doesn't work. It has never worked anywhere in the world. It's just a theory.
The luck of the Irish. Nobody's forgotten this, right? Isn't the money "parked" in Ireland?
I'm not sure I understand what you're saying. What country in the world has open borders?
Hyperinflation will come from something else, not this.
(hyperinflation is a great way to get rid of a massive $20 trillion debt).
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They won't be asked to subsidize, it will just cost more to buy imports because of the return of customs duties and taxes.
So Samsung will cost more.
Apple devices made in USA won't have duties.... the labour will cost more, that's all.
These are some of the incentives.
I don't recall our immigration laws saying that? What they do say is there's a process to become a citizen and expectations need met in order to do so.
Indeed!
Robot assembly lines onboard ships come to mind for some reason.
The ships could pick up components and dock in USA and produce iPhone's and drop off the finished goods and keep going.
I don't think anyone is promising "OUR lowered prices".
That idea of "OUR lowered prices" is one of the things that has done a lot of harm to North America in the last 20 years or so. i.e.: "The High Cost of Low Prices" - I think it is a story about Walmart.
Anyways - the point is that we all go for the lowest prices and many of us don't even care about quality anymore, we just want low prices it seems like.
If and when we have more manufacturing in the USA, prices will be higher. Higher for the US made stuff and higher for the imported stuff (because of import duties). Everything will cost a little more maybe - at least for a while.
If you are not old enough you might not remember how things worked before "Free Trade". It was not perfect and it kind of sucked actually, but at least we had a middle class! These days after 20 years of globalization you have a different society. Maybe it would be different for other reasons too, but I do see what I believe to be some effects of NAFTA globalization. Some good, Some bad. Some bad here, some good "there" and vice versa. You decide.
The problem is many here and those protesting in the streets weren't even born yet to remember those days. The days when the middle class existed and not everyone had iPhones and OLED TV quality goods in their home. Which for some reason so many think is the norm and some type of entitlement. WOW are they in for a shocker! The same group saying this won't work because it will raise prices thinks paying a McD worker $15/hr won't do the same. Another wake up call is headed their way there too.
I agree there's a trade off. If we want our middle class back - which the vast majority of Americans do then we have to pay a price. Not a bad price either. One that includes US having control over our own destiny and future vs being a candy-axx bunch of consumers that don't make anything.
Makes me wonder if anyone watches the early to mid 90's Ross Perot & Al Gore videos from back in the day. I don't think Al Gore would be too pleased to review his slides showing how great NAFTA is going to be for us in terms of trade deficits vs surpluses. We really should get him back on camera and force him to address his own comments from back then. Al Gore vs Ross Perot the rematch. We could sell it via pay-per-view even.
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Why would manufacturing products in the US prevent us from export and import?
That's not the way in works in practice. When the government protects a domestic industry from foreign competition then there is less competition. When there is less competition prices rise.
Well it's not like the incoming administration is going to be big on worker protections. ..
In a related scenario, the Carrier jobs that were kept in-state were a quid pro quo, the "quo" being $7 million in corporate tax breaks. Coincidentally, that was in Indiana, the state where VP-elect Mike Pence is still governor, which is $46.4 billion in debt.
I'm not sure how proportionate Carrier executive compensation is to that of its factory floor workforce, but I haven't read of any upper-level salary cuts in order to retain domestic labor.
This is generally how these things play out, and each of these aspects is problematic. I'm not saying the answer is to ship the jobs abroad, but the retention process is fraught with serious issues as well.
I'm not sure how proportionate Carrier executive compensation is to that of its factory floor workforce, but I haven't read of any upper-level salary cuts in order to retain domestic labor.
This is generally how these things play out, and each of these aspects is problematic. I'm not saying the answer is to ship the jobs abroad, but the retention process is fraught with serious issues as well.
You are right if you use the U3 unemployment numbers, which in are people actively looking for jobs and reporting the the BLS.
Using the U6, which is working age people not currently working, the numbers do my look good at all.
It is worse for younger blacks, and recent college graduates.
And, this doesn't include the under-employed which is a significant % of the employed.
To sum up, the job market in the US is horrible.
I know this. But libertarianism doesn't match with a policy of closed borders. If you value competitiveness, you shouldn't be protectionist. Moreover, if you're a libertarian, you shouldn't care if money is made in China or USA, considering that citizens from both countries could migrate freely.