The U.S. system for taxing corporate profits is outdated, ineffective at raising revenue, and creates perverse incentives for companies to shelter profits overseas. It is also, for most U.S. companies most of the time, a pretty good deal, which is one of the big reasons why any serious overhaul will be so difficult to achieve.
In the lasting debate over Thomas Piketty’s book on outsized returns on capital, a significant fact has been obscured: If you exclude land and housing, capital has not risen as a share of the U.S. economy.
Speakers: Howard Dean and Grover Norquist Presider: Michael P. Hirsh
Former governor of Vermont, Howard Dean, and Americans for Tax Reform's Grover Norquist, join Politico's Michael P. Hirsh, to discuss President Lyndon B. Johnson’s broad social agenda, the Great Society. Fifty years after the Great Society’s inception, the panelists reflect on the agenda’s economic and social legacy and envision its future.
Each year, state and local governments in the United States spend more than $80 billion, or roughly 7 percent of their total budgets, on tax breaks and subsidies to attract investments from auto companies, movie producers, aircraft makers and other industries. Edward Alden and Rebecca Strauss explore the possiblity of ending such compensation.
Nearly three decades after the last major tax overhaul, both Democratic and Republican parties and President Barack Obama agree that cutting the corporate tax rate and taxing foreign profits differently would move the tax system in the right direction. The outdated corporate tax system does not raise as much revenue as the systems of most other rich countries, even as U.S. corporate profits have reached record highs, according to a new progress report and scorecard from the Council on Foreign Relations' Renewing America initiative.
Authors: Peter R. Orszag and Cass R. Sunstein Bloomberg.com
Peter Orszag and Cass Sunstein write that governments should use "nudges"—policies that harness economics and psychology to encourage certain behaviors—to deliver major benefits without imposing big costs on the public or private sector.
Taxes on oil consumption have long been a legislative third rail, yet concerns about the national debt may soon change that political calculus. Daniel Ahn and Michael Levi demonstrate that energy taxes can reduce the national debt and improve economic performance, all while reducing U.S. oil consumption.
The most recent PricewaterhouseCoopers tax rate study shows that we have undergone a period of significant growth, followed by a sudden economic downturn, and currently, a slow but inconsistent recovery.
The authors argue that the United States has responded inadequately to the rise of Chinese power and recommend placing less strategic emphasis on the goal of integrating China into the international system and more on balancing China's rise.
Campbell evaluates the implications of the Boko Haram insurgency and recommends that the United States support Nigerian efforts to address the drivers of Boko Haram, such as poverty and corruption, and to foster stronger ties with Nigerian civil society.
Learn more about CFR’s mission and its work over the past year in the 2015 Annual Report. The Annual Report spotlights new initiatives, high-profile events, and authoritative scholarship from CFR experts, and includes a message from CFR President Richard N. Haass. Read and download »