Working Up

by Dwayne Phillips

Companies are far more agile than governments. I hope that one day governments will accept this and work with companies instead of against them.

A few recent stories have appeared about companies moving money to countries with lower tax rates. Some people are outraged about it.

Governments will see what the companies are doing and change the laws. The companies will read the new laws and change their behavior to work around the laws. Note something about these government and company changes.

Governments take years to change laws.

Companies take days to read the laws and change their behavior.

I think this is a good thing.

In America (at least), the states, through the Constitution, created the Federal government. The writers of the Constitution created the government in a way to cause laws to be made slowly. The idea is that the law makers will think before making laws slowly.

I find it unfortunate at how law makers think very little before making laws slowly.

Anyways, people are decrying the greed in the current situation of companies moving their money to countries with lower tax rates. I agree that greed is present, but I find the greed on the part on the governments with the higher tax rates. Lower the tax rates and the companies will come to your country. You will benefit and so will the companies. Raising the tax rate and screaming when companies go to another country shows greed and envy – at least that is what it shows me.

We shall see if governments realize how they are far less agile than companies. Perhaps one day, representatives of governments will talk with leaders of companies about tax rates, banking, and locations of jobs and such. Perhaps one day, these fine persons will understand one another and apply deep thought as they make laws slowly.