How to kill America–offshore it to death

7-30-2014      Offshoring, the practice of moving production to foreign locales while continuing to sell goods to the U.S. market, is a pervasive feature of the U.S. economy today. Market pressures drive businesses to seek reduced production costs, often in places where standards of living and protections for workers and the environment are more lax than in the United States. Moreover, an ineffective tax structure further encourages the relocation of assets and production to foreign countries with lower costs. Policies such as a tax credit that reduces the costs a company incurs when it reshores jobs back to the United States would help slow this trend….

Offshoring is a prevalent feature of the U.S. economy, with much of this trade occurring within multinational companies’ corporate families….

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The United States tax code actually incentivizes moving production, jobs, and profits overseas by favoring overseas investment with a lower effective tax rate. According to a Tax Law Review article by Melissa Costa and Jennifer G. Gravelle, foreign-source income for U.S. multinational corporations saw an average tax rate of 15.7 percent as of 2007, while domestic-based income saw an average rate of 26 percent, a disparity of around 10 percentage points.       https://www.americanprogress.org/issues/economy/news/2014/07/30/94864/offshoring-work-is-taking-a-toll-on-the-u-s-economy/

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Some experts estimate that $1 trillion out of the $6 trillion the federal government, together with state and local governments, spend annually are handed over to private contractors.

In 2010, an electoral landslide ushered in a new breed of governors. Aided and abetted by corporate-funded legislative and lobbying groups, such as the American Legislative Exchange Counsel (ALEC), these governors pushed the envelope of outsourcing and privatization, selling public services to for-profit firms with their powerful political lobbies and related campaign contributions.

In this process, transparency and accountability are lost and the public loses its ability to influence decision makers through normal democratic channels. Shared prosperity also suffers when good middle class jobs are lost to low-road, low-wage employers.

In states across the country, schools, health care, prisons, prison food, water services, road services, state liquor sales, state economic development authorities, legal services, and even child support services were outsourced to private, for-profit companies. While the governors spoke of tight budgets and cost savings, a pattern emerged of influential corporate lobbyists and deep-pocketed campaign contributors.

In this effort to shrink government and sell off the prosperous parts to private interests, the winners are large corporations with a phalanx of lobbyists and campaign coffers big enough to buy political influence. All too often, taxpayers find themselves on the losing side.

While there are countless examples of privatizations gone awry costing taxpayers more money, few independent studies have been conducted on the true costs of outsourcing. Do reduced labor costs save taxpayers money or do any savings line the pockets of CEOs and shareholders? One survey by the International City/County Management Association showed that 52 percent of governments that brought services back in-house reported that the primary reason was insufficient cost savings.   http://www.prwatch.org/news/2014/10/12620/pay-to-prey-governors-facilitate-the-predatory-outsourcing-of-americas-public-services#sthash.VqiAvok6.dpuf

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3-27-14  A new report from the Colorado Center for Policy Studies at the University of Colorado has found that society pays a steep price for the outsourcing of government functions, with things like a weakened social infrastructure, increased economic inequality, poorer services or quality of care and hollowed-out civic institutions.    http://www.alternet.org/economy/outsourcing-and-privatization-are-killing-america

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Taking on too many functions and missions, it (US government) has become paralyzed by political conflict and decision overload. Swamped with insatiable demand on the public purse and deepening taxpayer resistance, it has become unable to maintain even a semblance of balance between its income and outgo.

Exposed to constant raids by powerful organized lobby groups, it has lost all pretenses that the public interest is distinguishable from private looting. Indeed, the fact that Goldman Sachs got a $1.5 billion tax break to subsidize its new headquarters in the New Year’s eve fiscal cliff bill— legislation allegedly to save the middle class from tax hikes— is just the most recent striking albeit odorous case.   http://www.zerohedge.com/news/2013-10-05/david-stockman-explains-keynesian-state-wreck-ahead-sundown-america

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1-4-2013

It has been estimated that 80 percent of all international banking transactions take place through these offshore banks.  $1.4 trillion is being held in offshore banks in the Cayman Islands alone.

One article in the Guardian estimated that a third of all the wealth on the entire globe is being held in offshore banks     http://www.globalresearch.ca/the-global-elite-are-hiding-18-trillion-dollars-in-offshore-banks/5317691

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Boeing aircraft company is losing its ability to understand key manufacturing processes. As Gates points out, Boeing outsourced much of the 787 Dreamliner’s electronics to Paris-based Thales. Thales in turn subcontracted much of the work to GS Yuasa and other Japanese  corporations, as well as to a subsidiary of United Technologies. Then when problems arose with dangerously overheating batteries, Boeing engineers lacked the ability to respond quickly to crisis.  http://www.forbes.com/sites/eamonnfingleton/2013/05/26/americas-open-economy-is-a-naked-woman-says-nobel-laureate-mundell/

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There is too much sleepfulness while you are awake!  For you have been trained by a socialist system even while yet living in a land of freedom.  You wait for someone to come along and tell you what to do, to think for you, to be creative for you; you have a sense that something outside of yourself holds the key to your destiny.  Beloved, this is a most dangerous doctrine….

Blessed hearts, socialism will cause humanity to behave in a rote fashion unable to go beyond that rote performance thus degrading this evolution down the scale to the level of primates and beneath, as they were prior to the coming of Sanat Kumara (from Venus)….Blessed hearts, it is deadly to entrust any portion of thy life to another.  Thus a fierce independence and self-reliance must be engendered within your children.    -Archeia Mary:  7-5-1987 at RTR, Montana via Messenger ECP     IMG_0486-Elizabeth Clare Prophet

IMG_0176            -all-seeing Eye by C. Sindelar

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