View Full Version : Taxing corporation if they move oversea??
danyboy27
15th April 2011, 20:54
is it legal or possible for a governement to fine a corporation heavily if they decide to move their production oversea?
A factory closed in my province last week, and apparently the federal governement provided a lot of help to move it oversea.
if a governement can facilitate the outsourcing of production, i fail to see why they cant actually discourage and punish this verry action.
Thug Lessons
15th April 2011, 23:07
Of course they can, but protectionism is dumb and I don't understand why any anti-capitalist would advocate it. "Don't you dare go exploit workers in other countries, you better exploit them right here!"
RGacky3
16th April 2011, 09:02
Of course they can, but protectionism is dumb and I don't understand why any anti-capitalist would advocate it. "Don't you dare go exploit workers in other countries, you better exploit them right here!"
So its BETTER that first world workers get unemployed, and third world workers are forced to work for giant multinationals as their local economies are destroyed, brilliant.
Yes they can tax those companies, and they can put up tarriffs and so on, but they just don't.
Thug Lessons
16th April 2011, 09:34
So its BETTER that first world workers get unemployed, and third world workers are forced to work for giant multinationals as their local economies are destroyed, brilliant.
Sorry, that makes no fucking sense Gacky, and even if it did it wasn't what I was saying. I'm only pointing out that protectionism does just about nothing to solve the inherent in capitalism. It's simply a way to promote narrow nationalist concerns and should only be attractive to particularly braindead Keynesians, not any sort of Marxist or socialist.
Yes they can tax those companies, and they can put up tarriffs and so on, but they just don't.
You're just flat-out wrong here, and don't know what you're talking about. Tariffs have only been eliminated in narrow trade blocs like the EEC and NAFTA.
RGacky3
16th April 2011, 16:26
I'm only pointing out that protectionism does just about nothing to solve the inherent in capitalism. It's simply a way to promote narrow nationalist concerns and should only be attractive to particularly braindead Keynesians, not any sort of Marxist or socialist.
Nothing solves the inherent problems in Capitalism apart form destroying Capitalism, so does that mean we don't support things that make peoples lives better unless its total destruction of Capitalism?
You're just flat-out wrong here, and don't know what you're talking about. Tariffs have only been eliminated in narrow trade blocs like the EEC and NAFTA.
eliminated yes, but for the most part tariffs and other economic tools of the government are not really used that well for the benefit of hte people, especially in the United States.
RGacky3
16th April 2011, 16:27
Look up the Washington Consensus.
Sadena Meti
16th April 2011, 16:56
Problem is how do you define moving out of a country?
GEHC, for example, has factories in the US and Ireland (and elsewhere). Let's say they shift production from 50/50 to 40/60 between those countries. Should that be taxed?
Moving factories to other countries wouldn't be a bad thing if the workers were treated fairly. I happen to know from my time working at GEHC that the IT Help Desk workers in India were being paid one fifth what I was getting.
I doesn't matter where the work is done (OK, it does on a resources and distribution level but that's not what we are talking about here), what matters is how the workers are treated.
RGacky3
16th April 2011, 17:30
If you put tarriffs on certain goods, based on various things (like workers rights), you put conditions on access to your market, you could also make capital gains taxes on investments made outside the country.
danyboy27
16th April 2011, 17:32
Problem is how do you define moving out of a country?
GEHC, for example, has factories in the US and Ireland (and elsewhere). Let's say they shift production from 50/50 to 40/60 between those countries. Should that be taxed?
Moving factories to other countries wouldn't be a bad thing if the workers were treated fairly. I happen to know from my time working at GEHC that the IT Help Desk workers in India were being paid one fifth what I was getting.
I doesn't matter where the work is done (OK, it does on a resources and distribution level but that's not what we are talking about here), what matters is how the workers are treated.
well, i mean in general, nothing too specific, just wondering if it was actually possible for a governement to give penalities to the industries who are wrecking the economy by outsourcing the job.
I guess it a fair way to put it would be to put in place a reciprocity system between two countries, no job or buisness could be moved into x countries if there is no fair wage or unsafe working conditions, and in return the other country have the obligation to create jobs in a way or another in your economy to compensate for the losses.
a fair game, both countries develop expertises, keep their manifacturing base relatively intact, and the working class got fair wages.
Of course this is not revolutionary at all, i am just wondering if such thing could happen from governement has a last ditch attempt to avoid a full scale class war.
Robespierre Richard
16th April 2011, 17:33
Hahaha MTWists are to reformists what neoliberals are to liberals
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