eUpdate 08/01/08
Taxpayers League of Minnesota eUpdate
1. David Strom Show
2. This Bud's for You
3. Invest in Minnesota. Divest in Government.
4. Blaming the Pigs
5. Two Tickets, and a Chance to Annoy Liberals!
1. The David Strom Show presented by the Minnesota Free Market Institute.
Tune in this Saturday to AM1280 the Patriot from 9-11am on the David Strom Show for a great discussion on the transit tax and fare increases. David will be joined by guests Carver County Commissioner Tom Workman, and Taxpayers League President Phil Krinkie.
During the second hour, monthly guest King Banaian will join David for the latest economic news and analysis.
2. This Bud's for You
A lot of folks find it almost unpatriotic that the "King of Beers" is emigrating across the Atlantic, sold to a Belgian brewer. Fifty billon dollars for shareholders might have something to do with it, but the WSJ’s Stephen Moore and Tyler Grimm say it's something more.
According to the Tax Foundation, Belgium's corporate tax rate is 33%, but the effective tax rate can be half the nominal rate thanks to tax adjustments. Bottom line: InBev was paying around 20% of its profits in corporate taxes, compared to Anheuser-Busch's rate of 38.4%.
"Things have gotten pretty bad when U.S. companies relocate to Europe to cut their tax payments," write Moore and Grimm. "But a research analysis by Morgan Stanley finds the combined company's corporate tax bill will be lower than in the U.S. and that the tax differential indeed figured into the economics of the sale."
Expect more sales of U.S. companies to European rivals thanks to the combination of America's higher corporate taxes and the weak dollar. The international average for corporate tax rates fell by another percentage point last year, meaning the U.S. is pricing itself out of the market as a corporate headquarters.
3. Invest in Minnesota. Divest in Government.
Dane Smith, president of Growth & Justice is at it again, this time in the St. Cloud Times, on behalf of the Invest in Minnesota Campaign (code for “increase taxes campaign”).
Smith continues his ongoing whine about Minnesota's slide into mediocrity, which he blames on a "no new taxes mentality."
"State leaders will have tough decisions to make in 2009," he says (ya think), but when he adds, "Unless we speak up and join a movement to change the state's course and put more revenue on the table (yes, this means tax increases for those who can afford it), the disinvestment for the common good will continue in our state," he's again only looking at half the equation. Whether out of arrogance or willful ignorance, Smith refuses to consider that the "disinvestment" he laments might be the result of misplaced priorities and not a lack of revenue.
Craig Westover, senior policy fellow at the Minnesota Free Market Institute pushed Smith on the issue of government restraint on the pages of the Pioneer Press. Before we start willy-nilly raising taxes, we ought to be looking at all state spending, first determining if the spending is a legitimate function of state government and then setting priorities. Without the first step of limiting government to its legitimate functions, it is lazy and disingenuous to dip into taxpayers' pockets with the false cry of "crisis."
4. Blaming the Pigs
The Franken campaign is trying to make hay out of the congressional revolving door between a congressional career and a lucrative post-congressional lobbying career. In typical progressive fashion, Franken adopts a culprit mentality – people who use their experience to better themselves are necessarily evil. His solution is more regulation, going so far as seeking a prohibition of former legislators becoming lobbyists. We've always suspected liberals don't want others to be happy, but an outright denial of the right to pursue a job is a little much.
Instead of regulation Franken (and Sen. Norm Coleman for that matter) ought to be asking why the demand for lobbyists is on the rise. The answer is simple – as government becomes more and more pervasive in our lives, more and more special interests are finding it essential to not just have a presence in Washington, but actively influence legislation – if they don't, their competition will. As Ronald Reagan used to say, "Don't blame the pigs for eating if you keep filling up the trough."
If Franken is serious about the evils of lobbying, then he ought to be restraining big government and getting government out of areas it doesn't belong.
5. Two Tickets, and a Chance to Annoy Liberals!
Why should you sign up to help out at the Taxpayers League State Fair booth? One, you’ll get TWO FREE tickets for you and a friend to enjoy the Great Minnesota Get-Together, and two, because it’s 3 hours to annoy the tax-loving liberals! You couldn’t ask for a better opportunity to have fun and get involved in a great cause. So sign up today for one, two, or three shifts! The Fair is Thursday, August 21–Monday, September 1. Shifts will be 9am-noon, noon-3pm, 3-6pm, and 6-9pm each day. Email This email address is being protected from spambots. You need JavaScript enabled to view it. and let us know what shifts you want to cover, or for additional information.
