America over the years has been a Nation of high taxes designed to support a population of many different classes. Taxes that go towards paying for the public well being of all classes collectively. Specifically towards public well being of lower income families.
Lets face it! America is successful because of the hard work of all classes Lower, Middle, and Upper. However over the recent years there has been an increasing growth in those who need assistance through Federal Taxes.
In particular, Unemployment claims have risen over the last 4 years. From a rate of 4.7% in 2007 to a rate of around 8% percent unemployment nationally. Yes the current rate of unemployment is headed downwards but are the proper steps being taken to encourage growth in America?
The American Unemployment over the last 22 years:
The graph above shows the Unemployment rates dropping over the last two years after things took a turn for the worst in 2008. Even with disaster having been averted, does that mean that America is headed back in the direction of its glory years?
Currently the United States has the Highest Corporate Tax Rate in the world. The Obama Administration has a plan to fix these problems however some caution that it will actually do more harm then good.
Here is a snippet of the Plan from VP Joe Biden:
So whats the harm in taxing multinational countries who choose to do business in foreign countries? Raising the taxes on those companies for doing business overseas will in turn make them vulnerable to being bought out by Foreign investment groups who are not being taxed so heavily According to PHD J.D. Foster.
The Obama administrations plan starts out sounding like a good one lowering the current Corporate Tax from 35% down to 28%. The way the President intends to make up for the difference in Tax revenue for the government will come in penalizing those multinational companies with the Global Minimum Tax according to Dr. Foster .
The plan to tax American companies who choose to operate overseas does sound good at first to many, however the end result would not be as good says Dr. Foster. The end result would lead to bankrupt American Multinational Countries being bought out by foreign investment groups. Dr. Foster has a plan and a solution to fixing the Corporate Tax problem.
America is in a tough position in these current times, not because of any one Person, or President but from years of steadily loosing focus on running a tight budget. Reckless spending over the years has lead to increased debt, less economic prosperity, higher unemployment, and a decline in American power globally as nations like China, Brazil, and Russia catch up.