Saturday, April 16, 2011

How the US Government and Big Corporations Go Hand in Hand

Recently, I was watching the Daily Show online and I came across this clip titled "I Give Up-Pay Anything". Underneath the video, there were tags that read GE, wealth, taxes so I thought that maybe it might have something to do with our conversation in class about CEO compensation and corporate greed. As I watched, I discovered that President Obama recently named General Electric CEO Jeff Immelt as the chair to The Council on Jobs and Competitiveness. This came after President Obama saying that the government needed to stop large corporations from receiving tax breaks and sending jobs overseas. The situation is ironic because GE made 14.2 billion dollars in worldwide profits last year while paying no corporate taxes. In fact,it actually made 3.2 billion dollars in government compensation. Large corporations are supposed to be taxed 35%, but statics have shown that 2/3 of the major businesses in the United States pay no corporate taxes. To add more insult to injury, in the past decade, GE has outsourced 1/5 of its jobs to other countries. From this example alone, it is no wonder why the government cannot balance the budget.

Here's the link to watch the video: http://www.thedailyshow.com/collection/380202/best-of-corporate-greed/379045

Q: Is the government just a puppet of large corporations?

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