Thursday, November 1, 2012

U.S. Firms Abort U.S.

I dropped off my girlfriend at the airport and escorted her into the jet which will take her back to London. It is always heartbreaking to see her leave or leave her at the airport. We share one last and long loving kiss before I exit the jet and enter the car as I need to make it back to HQ to attend another teleconference.

We head through early Singapore morning traffic and my personal assistant calls me with updates on a report I asked her to compile. The reports centers on U.S: companies who decided to leave the U.S. and set up their companies oversees as the U.S. has become more and more business hostile and discourages companies from operating within its borders.

The two major reasons are over-regulation and taxes. The U.S. has entered a serious of decisions which made it ridiculous to operate a business from inside the U.S. Until the late 90's the U.S. was proud home of the financial capital of the world located in New York, Wall Street to be more precise. The U.S. was hammered with a serious of corporate scandals from Enron to WorldCom together with many lower profile scandals.

In direct response U.S: lawmakers imposed a bi-partisan act called the Sarbanes-Oxley Act, named after the two assdouches responsible for the report. Sarbanes-Oxley quickly forces thousands of financial firms as well as others outside the U.S. and London welcomed the exodus with a business friendly environment. Over the past decade London has become the financial capital of the world and the U.S. is still mad at their own stupidity.

The 2008 financial crisis, which started in the U.S., the housing market to name the culprit of the meltdown, gave birth to Dodd-Frank. The U.S. housing market is the most regulated part of the financial system in the U.S. and the one which is abuse by the most direct government influence. It obviously failed as expected given the government interference in what was supposed to be a free market.

Dodd-Frank will force more companies to set-up shop in London and elsewhere which will cause the U.S. hundreds of billions in tax revenues as well as tens of thousands of jobs. Other idiotic policies have forced manufacturers as well as oil producers out of the country. The U.S. has become less and less competitive and each policy the moronic policymakers announce and enforce makes the U.S. less attractive for business.

The Tax code is another vital reason. The U.S. has made its tax system more and more complicated over time and has raised taxes as the socialists thought it would increase tax revenues. The opposite holds true in the real world and the U.S: saw its tax revenues shrink as the crisis grew and they responded or plan to respond with more tax increases across the board.

Dumbamacare as well as other Dumbama policies will shave off an additional $5,000 per household which lead to a few hundred billion dollars less in revenues. They simply do not comprehend that each of their moves has added to the problems and made the U.S. a less and less attractive location for new business and forced as well as is forcing existing businesses out of the country.

I am pleased with the developments and we will continue to assist companies who wish to leave the socialistic infested country for a country of their choice which welcomes business and does not plan to punish success. The U.S., sadly so, is a former giant which dies years ago, but has not yet completely fallen to the ground. Each company that moves its operations, revenues as well as employees out of this nest of stupidity is a victory for the free market.

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