Finance, Tax, U.S. Tax, Federal Tax Rules & Regulations, U.S. Tax Policy, Global Economy, Competitiveness, Government Policy, Money & Finance, Government Finance
Patriotism has little to do with an inversion, a process whereby a company moves its headquarters to another country, but in a midterm election year, it is easier for politicians to cast corporations as deserters than address root causes -- namely, the convoluted tax code.
Over 10 years, the stock of U.S. direct investment in Canada grew continuously, but the U.S. share of Canadian FDI decreased. Changes to Canada’s foreign investment regime may help sustain the upward trend of U.S. investment stock by making it relatively easier for private U.S. businesses to invest in our northern neighbor.
Finance, Tax, U.S. Tax, Federal Tax Rules & Regulations, U.S. Tax Policy, Global Economy, Money & Finance, Government Finance
In early March, President Obama sent his official FY15 budget to Capitol Hill. Judging by the reception, not just from House Republicans but from a jaded White House press corps, the proposal is clearly DOA. It’s not the first proposed budget to get such a congressional snub. But considering the White House’s cavalier approach to this budget, and Congress’s inability to agree to a formal spending plan over the past decade, the budget process created almost a century ago is in desperate need of reform.
Manufacturing sector activity, as measured by the Federal Reserve Board’s industrial production index, grew by just 2.3% in 2013, down from 3.9% in 2012. Activity in the fourth quarter, however, grew at an annualized rate of 6.2%. Despite relatively slow growth, various benchmarks indicate that the manufacturing sector’s overall financial performance in the third quarter of 2013 improved on a year-over-year basis and is vastly better than it was during the contraction as the Great Recession took hold. If, as MAPI forecasts, manufacturing activity grows at a faster rate in 2014 and 2015, the solid financial performance of the past year should continue.