Mac1958
Diamond Member
- Thread starter
- #81
The officers of a corporation are mandated by law to work in a fiduciary capacity at all times.
American law.
American law.
That means their job is to maximize shareholder value.
If they do not, they can and will be sued by their shareholders.
And they will lose.
If you want to change that law, and I know you do, great. Do it. We can trust the government to run stuff.
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They can sue all day.
HUGE tarriffs on companies that offshore. And they are outed publically.
Betcha they find a way to make it work after that.
Here's a crazy idea. I know you won't like it, but just for fun:
Instead of punishing American companies for doing what they're supposed to do, maximize shareholder value, let's drop corporate tax rates to levels just a bit below the rest of the world, maybe to 15% with a 10% effective minimum.
Then we'll watch hundreds of billions, if not a trillion or two, re-patriated by American companies to our shores and invested here.
But that's just the beginning. We'll also watch foreign companies that are based elsewhere move their operations here, the most dynamic place on earth, a place where businesses are really welcome and grow and thrive and employ and innovate. Why? Two reasons: First, global corporate capital is like water, it follows the path of least resistance. Second, America used to be a very attractive place for business capital investment because it's still such a great place, and we can still get some of that back even in a hyper-competitive global marketplace.
Then, when those who run the corporations make zillions of dollars as a result (I know this is a sticking point), they'll see their personal income taxes increased somewhat. Perhaps we add two new margins, maybe 44.9% and 49.9%, maybe even one or two more margins. Higher income taxes would also incentivize them to do some public-oriented, tax-advantaged investing to decrease exposure, such as in municipal bonds for cities and treasury bonds. Excellent! Fuck potholes!
Maybe we could even make laws that restrict corporate executives from putting their companies at too much risk, and/or from playing fast and loose with stock options when the company is under-performing. There is still a need for improved regulation, as long we can understand the difference between MORE regulation and BETTER regulation, a distinction which is still somehow completely evading us. Corporate cheats and thugs hurt the company, the employer. This isn't about the government.
I know how much we love punishing and intimidating Americans and issuing "consequences", but perhaps that would be another option. Maybe we could just back off (while carefully and efficiently regulating) and attract businesses and watch them create wealth and growth for everyone. The hardcore right wingers who can only talk about lowering income taxes will have to live with the effects of improved public environments.
And by the way: If the deal is my plan in exchange for a $15 minimum wage, I'm there, all day long. No, not $10, not $12. $15.
Yeah, I know, I know. Let's not do that. More fun to punish. Let other countries attract business. Hell, they already are. Just doing a little daydreaming there.
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