China Markets shanghai composite trade

US, China Will Hold Do-Over Trade Talks In Washington As Einsteinian Insanity Takes Hold

"I hope you keep up the good work."

"I hope you keep up the good work."
This content has been archived. Log in or Subscribe for full access to thousands of archived articles.

2 comments on “US, China Will Hold Do-Over Trade Talks In Washington As Einsteinian Insanity Takes Hold

  1. “Central to the impasse is China’s subsidizing of SOEs”

    Effective tax rate of some main players ( I took them from official 10-K Forms)
    Facebook 13%
    Google 12%
    Amazon 11%
    Apple 16.5%
    Msft 19%
    Nflx 1%

    Not only they got a reduction from statutory 35% down to 21%, but thanks to stock-based compensation and other tax benefits the main ndx companies are paying well below 21%. (Msft and Aapl look like close to pay near statutory tax rate anyway).

    So, let me understand: Trump makes a gift to corporate America, runs trillions in deficit, companies find also several loopholes and come to pay 11% tax on average.
    How do we call that? Subsidizing as well?

    In some cases billions thrown to companies for the promise of creating jobs (unkept promises, see Tesla with its solar business for instance).

Speak On It

Skip to toolbar