1. Federal bureaucracy. Despite the advent of the computer and internet the US Government has managed to become a drain on productivity. The burden of filing out government forms has increased by around 19% over the past decade. In 2010, Americans spent 8.8 billion hours filling out government forms. Applying minimum wage to this figure results in tens of billions of dollars spent on bureaucratic red tape.
2. Crony capitalism and the solar panel maker Solyndra. Washington provided $528 million debt guarantee backed by tax payer dollars to a solar company whose business model did not make sense.
Solyndra is not an isolated case; at least four other stimulus backed companies have since filed for BK. Washington is not a hedge fund and should not have the power to make direct investments in private enterprises without the appropriate oversight.
Instead simple tax-credits could be used to stimulate viable companies in select industry groups.
3. Dead beat Congressman. The Seneter David Vitter from Louisiana planned to skip President's Obama's address regarding jobs to throw a football party. Rather than quietly sitting out the joint address to Congress Senator Vitter had the audacity to post the following on his facebook page:
“I will listen to the President’s speech tomorrow carefully . . . from my priority area for job creation, Who Dat Nation. Family and friends are coming over for big game. On to recovery — and the Super Bowl!”
4. Overly complicated taxes. General Electric generated $10.3 billion in pretax income last year, but ended up paying zero taxes. In fact, it recorded a tax benefit of $1.1 billion.
Forbes recently reported that companies are keeping some $28 billion a year out of the clutches of the U.S. Treasury by engaging in so-called transfer pricing arrangements which is just one form of tax loop holes exploited by large multinational companies.http://www.forbes.com/2010/04/01/ge-exxon-walmart-business-washington-corporate-taxes.html
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