Greed Isn't Always Good

[LoneLaugher]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

 

[LoneLaugher]

Maximizing shareholder value The goal that changed corporate America - The Washington Post

 

[Toddsterpatriot]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

I wonder if there is anything we could do to make America more attractive for corporate investment?

Maybe if we add a few thousand more regulations and raise our already highest in the world corporate tax rate?

 

[alan1]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

In other words, it's smart to invest in the company you work for and not only reap the benefits of a paycheck for your contributions, but also collect dividends on the company stock. I do that. It's like getting paid twice for the same work.
I'll admit, I'm a small fish in a big ocean when it comes to buying/owning my companies stock (I work for a Fortune 500 company) but I get a dividend payout every quarter and the stock price keeps rising.
What's good for the goose (corporate executives) is good for the gander (peon employees like me), If you aren't willing to invest in the company you work for, you should probably be working someplace else.

 

[LoneLaugher]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

I wonder if there is anything we could do to make America more attractive for corporate investment?

Maybe if we add a few thousand more regulations and raise our already highest in the world corporate tax rate?

Talking points.

AMERICAN CORPORATIONS ARE ENORMOUSLY PROFITABLE

At issue here is not whether or not American companies can compete and profit. That is already established. Instead....the question is what is being done with ENORMOUS PROFITS.

The shift from reinvestment and growing business to profit taking for executives and shareholders is not the result of regulations and taxes. It is the result of DEREGULATION.

TRY HARDER.

 

[LoneLaugher]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

In other words, it's smart to invest in the company you work for and not only reap the benefits of a paycheck for your contributions, but also collect dividends on the company stock. I do that. It's like getting paid twice for the same work.
I'll admit, I'm a small fish in a big ocean when it comes to buying/owning my companies stock (I work for a Fortune 500 company) but I get a dividend payout every quarter and the stock price keeps rising.
What's good for the goose (corporate executives) is good for the gander (peon employees like me), If you aren't willing to invest in the company you work for, you should probably be working someplace else.

No. That is not even related to the subject.

 

[JakeStarkey]

Pass an inversion tax differential.

A company that does business here, say Hailliburton but is hqrd elsewhere, if it pays more elsewhere, then leave its overseas profits alone.

If it pay 8% less than it would here, than tax the overseas profits that 8% difference for us.

A company that used to be hqrd here needs to pay a differential tax on overseas profits to encourage it to come back to the US.

 

[Toddsterpatriot]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

I wonder if there is anything we could do to make America more attractive for corporate investment?

Maybe if we add a few thousand more regulations and raise our already highest in the world corporate tax rate?

Talking points.

AMERICAN CORPORATIONS ARE ENORMOUSLY PROFITABLE

At issue here is not whether or not American companies can compete and profit. That is already established. Instead....the question is what is being done with ENORMOUS PROFITS.

The shift from reinvestment and growing business to profit taking for executives and shareholders is not the result of regulations and taxes. It is the result of DEREGULATION.

TRY HARDER.

AMERICAN CORPORATIONS ARE ENORMOUSLY PROFITABLE

How profitable, as a percentage of sales?

the question is what is being done with ENORMOUS PROFITS.

It sounds like, according to your link, the owners are getting them.
Isn't that awful?

The shift from reinvestment and growing business to profit taking for executives and shareholders is not the result of regulations and taxes.

Higher taxes and more regulations don't reduce the incentives to invest or reinvest?

It is the result of DEREGULATION.

When have we deregulated anything lately?
How many thousands of additional pages of regulations were added in the last 6 years? The last 14 years? The last 20?

 

[Toddsterpatriot]

Pass an inversion tax differential.

A company that does business here, say Hailliburton but is hqrd elsewhere, if it pays more elsewhere, then leave its overseas profits alone.

If it pay 8% less than it would here, than tax the overseas profits that 8% difference for us.

A company that used to be hqrd here needs to pay a differential tax on overseas profits to encourage it to come back to the US.

You want a company that is overtaxed by the US on overseas profit to pay even more on that overseas profit, to make them stay here?

 

[longknife]

Sadly yet another left-wing attack on evil corporations.

Does it ever end?

What do you prefer. Do away with all corporations and let the government do it? That's called communism.

 

[alan1]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

In other words, it's smart to invest in the company you work for and not only reap the benefits of a paycheck for your contributions, but also collect dividends on the company stock. I do that. It's like getting paid twice for the same work.
I'll admit, I'm a small fish in a big ocean when it comes to buying/owning my companies stock (I work for a Fortune 500 company) but I get a dividend payout every quarter and the stock price keeps rising.
What's good for the goose (corporate executives) is good for the gander (peon employees like me), If you aren't willing to invest in the company you work for, you should probably be working someplace else.

No. That is not even related to the subject.

It absolutely is.
Not my fault you don't invest in American companies and reap the benefits of doing so.
I guess you'd rather complain about it than participate in it.

 

[JakeStarkey]

Corporations are nothing special, gang, any more than a buncha cows in the pasture there for dairy, leather, and meat.

They need to be groomed and fed and their product extracted.

Any American country that runs away needs to pay an inversion tax differential on an excess profit between what they are paying in their new headquarters and what they would pay in the US.

 

[JakeStarkey]

Both the workers and America as a whole benefits far more when corporations invest in their workers, R&D, and technology and plant upgrades.

If $$$ to stock holders are in excess of their value, then those excessive $$$ will be sent chasing other $$$s with no benefit to the reality of the world in which we live.

 

[Toddsterpatriot]

Corporations are nothing special, gang, any more than a buncha cows in the pasture there for dairy, leather, and meat.

They need to be groomed and fed and their product extracted.

Any American country that runs away needs to pay an inversion tax differential on an excess profit between what they are paying in their new headquarters and what they would pay in the US.

They still pay American rates on American profits.
They don't want to pay the differential between the foreign rate and the US rate, that's why they keep foreign earnings overseas.
Once they move their HQ overseas, they'll owe zero to the US on their foreign earnings, so how are you going to charge them more than the current differential on those overseas earnings? LOL!

 

[Toddsterpatriot]

Both the workers and America as a whole benefits far more when corporations invest in their workers, R&D, and technology and plant upgrades.

If $$$ to stock holders are in excess of their value, then those excessive $$$ will be sent chasing other $$$s with no benefit to the reality of the world in which we live.

Both the workers and America as a whole benefits far more when corporations invest in their workers, R&D, and technology and plant upgrades.

You bet. That's why we need a competitive corporate tax rate. 15%-20% sounds good.

If $$$ to stock holders are in excess of their value

Huh? Can you translate that into English?

 

[HenryBHough]

When rules and regulations make marketing of any innovation sufficiently difficult as to make them economically infeasible then it's logical that development be halted or shifted to other countries.

But moving stuff offshore generates too much political heat so it's better to just take the money and run.

 

[Andylusion]

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

Now...they are returning almost all profit to shareholders.......and, as a result of stock option compensation plans.....that means that the decision makers are lining their own pockets as never before.

In corporations it s owner-take-all - The Washington Post

Not good for America.

US Corporations USED TO invest about half of all profits into R&D, infrastructure and their employees.

I wonder if there is anything we could do to make America more attractive for corporate investment?

Maybe if we add a few thousand more regulations and raise our already highest in the world corporate tax rate?

Talking points.

AMERICAN CORPORATIONS ARE ENORMOUSLY PROFITABLE

At issue here is not whether or not American companies can compete and profit. That is already established. Instead....the question is what is being done with ENORMOUS PROFITS.

The shift from reinvestment and growing business to profit taking for executives and shareholders is not the result of regulations and taxes. It is the result of DEREGULATION.

TRY HARDER.

But it's not. You can say that... .but saying it, and it actually being true, is not the same.
It seems as though you people on the left, you come up with what you believe first, and then find some article that says what you already believe, and then because you already believe it anyway... you don't fact check anything.

Yet, most of the big companies, publish this information publicly, and if you wanted to look it up, you could, but you don't.

Walmart Annual Reports

Walmart posts all this stuff. You can look it up. Now, the 2014 report is out, but... I happen to already have the 2013 numbers, so I'm going to post them, since I have them already.

Walmart made $28 Billion in profits last year.

Page 25. Effect tax rate was 31%. Page 34. Total provision for income taxes $8 BILLION dollars.

Page 34. Total Net Interest on debts. $2 Billion. Companies have debts and loans they borrowed to invest and grow their business. Debt service must be paid out.

Page 28. Total Capital investment. $13 Billion. New stores. Remodeling old and declining stores. Expanding stores. Distribution systems. E-commerce systems. In short... more jobs.

So already, out of $28 Billion in cash profits, $23 Billion dollars went out in debt payments, taxes and the majority in capital investment.

That leaves only $5 Billion for the investors, which is still $3 Billion dollars less than how much the government stole to pay off political supporters, kick backs, and green-energy boondoggles.

Clearly from the evidence, Walmart is not investing at all into the US, and is not paying taxes. Nope, clearly it's *ALL* going to profit taking by the share holders! [/sarcasm]

Facts trumps unsupportable opinion.

Now, let's talk about the shareholders, and dividend payments.
There are two different ways that a shareholder makes a profit from the ownership of a share in a company.

First, and the most obvious and widely cited, is the capital gain. The capital gain, is how much that share in the company increases in value in the market. This gain, does not cost the company itself a penny. If I own stock in Walmart (which I do), and that stock increases in value by 50%, from $50 to $75. And I sell the stock on the market, that profit taking, doesn't cost walmart anything from that $28 Billion in profit... UNLESS Walmart does a buy back. But otherwise, it's whoever in the market bought my share from me.

So that doesn't effect the situation.

What does, is the dividend payment. That $5 Billion Walmart spent in dividend payments, is doled out to the shareholders. Now that seems like a ton of money, but there are millions on millions of Walmart shares. The actual dividend payment in 2013? 47¢ (per quarter $1.88 for the entire year)

Not exactly a monster amount of money for us shareholders.

But you made a statement implying that profit taking has drastically increased. Is that true?

Dividend Yield: The dividend yield, is how much the buyer of the stock, gets back in dividends, relative to the value of the stock. Obviously..... if you buy a stock that costs $200, you want a higher dividend for that $200, than you would if you bought a stock worth $10.

The Dividend Yield, is the annual dividend payment, divided by the value of stock.

So Standard and Poor's data from the S&P 500, allowed Robert Shiller to create this graph.

The dividend yields over the past 15 years, have been the lowest, since 1870 to 2000.
S P 500 Dividend Yield

In other words..... everything in your OP, and the cited link, is total and complete crap.

Any questions, or is class dismissed?

 

[percysunshine]

.

The US wants to tax the entire universe.

When alien life forms eventually land on this planet, the first thing they will do is eat everyone who works for the IRS.

.

 

[Andylusion]

Sadly yet another left-wing attack on evil corporations.

Does it ever end?

What do you prefer. Do away with all corporations and let the government do it? That's called communism.

Which has worked sooooooooo incredibly well in every country that's tried it. We can't barely keep people from swimming to Cuba from Florida it's worked so well....

 

[JakeStarkey]

Corporations are nothing special, gang, any more than a buncha cows in the pasture there for dairy, leather, and meat.

They need to be groomed and fed and their product extracted.

Any American country that runs away needs to pay an inversion tax differential on an excess profit between what they are paying in their new headquarters and what they would pay in the US.

They still pay American rates on American profits.
They don't want to pay the differential between the foreign rate and the US rate, that's why they keep foreign earnings overseas.
Once they move their HQ overseas, they'll owe zero to the US on their foreign earnings, so how are you going to charge them more than the current differential on those overseas earnings? LOL!

tax break
Of course then can be made to pay that differential in our tax code says they can be made to pay so. Say the differential is 7% between paying here and overseas. Charge them the 7% so that they derive no tax break. Perfectly legal, perfectly ethical.