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Old 08-17-2018, 08:13 AM  
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Elizabeth Warren’s Batty Plan to Nationalize . . . Everything

This is amazing and disturbing. https://www.nationalreview.com/2018/...oos-hard-left/





Senator Elizabeth Warren of Massachusetts has one-upped socialists Bernie Sanders and Alexandria Ocasio-Cortez: She proposes to nationalize every major business in the United States of America. If successful, it would constitute the largest seizure of private property in human history.

Warren’s proposal is dishonestly called the “Accountable Capitalism Act.” Accountable to whom? you might ask. That’s a reasonable question. The answer is — as it always is — accountable to politicians, who desire to put the assets and productivity of private businesses under political discipline for their own selfish ends. It is remarkable that people who are most keenly attuned to the self-interest of CEOs and shareholders and the ways in which that self-interest influences their decisions apparently believe that members of the House, senators, presidents, regulators, Cabinet secretaries, and agency chiefs somehow are liberated from self-interest when they take office through some kind of miracle of transcendence.

Under Senator Warren’s proposal, no business with more than $1 billion in revenue would be permitted to legally operate without permission from the federal government. The federal government would then dictate to these businesses the composition of their boards, the details of internal corporate governance, compensation practices, personnel policies, and much more. Naturally, their political activities would be restricted, too. Senator Warren’s proposal entails the wholesale expropriation of private enterprise in the United States, and nothing less. It is unconstitutional, unethical, immoral, irresponsible, and — not to put too fine a point on it — utterly bonkers.

It is also cynical. Senator Warren is many things: a crass opportunist, intellectually bankrupt, personally vapid, a peddler of witless self-help books, etc. But she is not stupid. She knows that this is a go-nowhere proposition, that she will be spared by the Republican legislative majority from the ignominy that would ensue from the wholehearted pursuit of this daft program. It is in reality only a means of staking out for purely strategic reasons the most radical corner for her 2020 run at the Democratic presidential nomination. The Democratic party in 2018, like the Republican primary electorate in 2016, is out for blood and desirous of confrontation. So Senator Warren is running this red flag up the flagpole to see who salutes.

To propose such a thing for sincere reasons would be ghastly stupidity. To propose this program for narrowly self-serving political reasons is the sort of thing that would end a political career in a sane and self-respecting state, which Massachusetts plainly is not and has not been for some time.

When the owners of Apple wish to hold on to their own after-tax earnings, they are denounced as greedy. When Elizabeth Warren wants to seize those earnings for her own use, what is that? It is covetousness, which is what you get when you have greed compounded with envy.

To those on the left who look at Senator Warren’s proposal and think that giving the government a stronger whip hand over American businesses is just the ticket, I would like to present four questions: Who is the president of these United States? Who is the majority leader in the Senate? Who is the speaker of the House? How would you evaluate the composition of the Supreme Court, either as it stands or after President Donald Trump has the opportunity to nominate another justice or two? The power you give the federal government will be there during Republican administrations, too. Any future populist demagogue who finds his way into the White House will have access to the same power. No one should be trusted with that kind of power.

And nobody who seeks that kind of power should be trusted with any power at all.

It is worth keeping in mind that the fabulous goose was slaughtered not in spite of the golden eggs but because of them. Politicians are covetous. When the owners of Apple wish to hold on to their own after-tax earnings, they are denounced as greedy. (Apple’s shareholders are corporately the largest taxpayer in the world.) When Elizabeth Warren wants to seize those earnings for her own use, what is that? It is covetousness, which is what you get when you have greed compounded with envy. Senator Warren, a former Sunday-school teacher, apparently has a keen appreciation for the vices that lurk in the human heart, and she intends to leverage them to her benefit.


Another thing about these kinds of proposals: They are, at heart, acts of cowardice. There are politicians who wish to provide benefits to certain constituents and who would like those benefits to be paid for by other parties who are politically disfavored. There is an easy way to do that: Tax x to subsidize y. The problem with doing that is embarrassment.

Politicians such as Senator Warren lack the courage to go to the American electorate and say: “We wish to provide these benefits, and they will cost an extra $3 trillion a year, which we will pay for by doubling taxes.” Why spend the money to subsidize, say, health insurance, when you can just pass rules that make businesses do the subsidizing for you? It’s a way to spend money without putting the expenditures on a budget line. It treats the productive capacity of the United States as a herd of dairy cows to be milked by Senator Warren et al. at their convenience. And, of course, Senator Warren and her colleagues get to decide how the milk gets distributed, too.

One wonders why American businesses put up with it.


They do not have to. Not really.

It is a fairly easy thing for an established American business to move its corporate domicile to some other country, as with all those corporate inversions in the pharmaceutical industry that gave the Obama administration the willies a few years ago. It is also a fairly easy thing for a new business being founded by Americans to incorporate in some other country from the beginning. There is no insurmountable reason for, say, Microsoft or Altria (formerly Philip Morris) to be domiciled in the United States. Silicon Valley’s competitive edge comes from people, and people are mobile.

Nearly half of the total sales of the S&P 500 businesses come from overseas customers. Many big U.S. manufacturers such as Caterpillar get more than half of their sales from abroad. Exxon, the target of a political jihad being conducted by Senator Warren’s party, gets more than half of its revenue from overseas sales. You can serve the growing Asian markets as easily from Singapore as from California or Virginia. Watching American cities scurry around to prostrate themselves before Jeff Bezos (pbuh) in the hopes of attracting the new Amazon campus has been amusing. Imagine Apple or Google doing that in a global search for a new home. Fanciful? Yes.

Fanciful today.


Businesses historically have chosen to locate in the United States for a number of reasons: It was long the world’s largest market, and businesses had faith in American law and the American dollar. It’s still a big market, and the dollar is still the world’s favorite currency. But if American law or American lawmakers are going to treat profit-seeking enterprises as an Enemy of the People — Zurich is pretty nice. Lots of places are. There are a lot of big American businesses with targets painted on their backs, and those that do not already have a Plan B are doing their shareholders a disservice.

The rogues’ gallery of those who sought to fortify their political power by bullying businesses is long, and it is sickening. Senator Warren now nominates herself to that list, at least in her aspiration. It is not an honorable aspiration.
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Old 08-17-2018, 10:39 AM   #61
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Sounds horrible, right? Returning to the pre-1980s days.
Because it was so great for women and minorities working in corporate America in the 1950s and 1960s, right?
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Old 08-17-2018, 10:40 AM   #62
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Originally Posted by Loneiguana View Post
Yeah, like I said, help companies invest back into the American worker.

Sounds horrible, right? Returning to the pre-1980s days.
It sounds like she thinks that it would redistribute trillions of dollars from rich executives and shareholders to the middle class. No?
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Old 08-17-2018, 10:40 AM   #63
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We can laugh all we want but this is going to happen at some point. It’s too popular among young stupid people and it will be given at try a some point IMO.

And it will fail spectacularly.
Conservatives with zero knowledge outside their small town grocery store gas station dollar general predict failure for things that have been successful for decades in other countries.

News at 11.
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Old 08-17-2018, 10:41 AM   #64
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Originally Posted by Loneiguana View Post
Asked of likely voters: "In many countries, employees at large companies elect representatives to their firm's board of directors in order to advocate their interests and point of view to management. Democrats say this gives regular workers a greater say over how their companies are run and will increase wages, while Republicans claim that this makes companies less efficient and be bad for the economy. Would you support letting employees at large companies elect representatives to their firm's board of directors?"



Seems this is a fairly popular idea. No wonder it has conservative boot lickers scared.
Sounds almost like unionization.
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Old 08-17-2018, 10:41 AM   #65
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This Bill has a snowball chance in hell of being passed. Just cannon fodder for her liberal lemmings for 2020.

BoDs are elected by shareholders who receive value for their investments. Mandating that 2/5 be controlled by a third party is a recipe for waste and lost time. Look at United Airlines's BoD for example.

We would be better off encouraging companies to increase their employee stock option plans or stock purchase matching plans. Teach employees how equity works and builds value.

I love how all these non-business people on CP who have never run a corporation, worked with a BoD, or may have never been in an employee stock ownership plan are jumping in to defend this nonsense.
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Old 08-17-2018, 10:42 AM   #66
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Because it was so great for women and minorities working in corporate America in the 1950s and 1960s, right?
Look how stupid you are, bringing up minorities in a discussion about worker/employer relations.

"We can't return to the time when companies invested in their workforce to a much higher degree because we were still figuring out civil rights!"

Way to go waaaay down the stupid hole.
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Old 08-17-2018, 10:43 AM   #67
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It sounds like she thinks that it would redistribute trillions of dollars from rich executives and shareholders to the middle class. No?
No.

But thanks for playing.

It sounds like she wants to give workers some control in a company to help press that company to reinvest in their workers.
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Old 08-17-2018, 10:43 AM   #68
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Huh:

But over the last decade, big American companies have dedicated 93% of earnings to shareholders - redirecting trillions of dollars that could have gone to workers or long-term investments. The result is that booming corporate profits and rising worker productivity have not led to rising wages.

"There's a fundamental problem with our economy. For decades, American workers have helped create record corporate profits but have seen their wages hardly budge. To fix this problem we need to end the harmful corporate obsession with maximizing shareholder returns at all costs, which has sucked trillions of dollars away from workers and necessary long-term investments," said Senator Warren. "My bill will help the American economy return to the era when American companies and American workers did well together."


https://www.warren.senate.gov/newsro...capitalism-act
In the 1060's CEO salaries averaged 20 times employees salaries.

Today, they average over 300 times what employees make.

You don't see anything wrong with that?
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Old 08-17-2018, 10:44 AM   #69
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No.

But thanks for playing.
Really? I just gave you two quotes directly from her about her bill. In each of them, she mentions trillions not going toward the worker.

Are you saying that she does not think this bill will do that?
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Old 08-17-2018, 10:44 AM   #70
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Sounds almost like unionization.
Golly gee, yeah think?

Unions, which Republicans use to love because they solved employer/employee disputes without government interference.
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Old 08-17-2018, 10:46 AM   #71
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This Bill has a snowball chance in hell of being passed. Just cannon fodder for her liberal lemmings for 2020.

BoDs are elected by shareholders who receive value for their investments. Mandating that 2/5 be controlled by a third party is a recipe for waste and lost time. Look at United Airlines's BoD for example.

We would be better off encouraging companies to increase their employee stock option plans or stock purchase matching plans. Teach employees how equity works and builds value.

I love how all these non-business people on CP who have never run a corporation, worked with a BoD, or may have never been in an employee stock ownership plan are jumping in to defend this nonsense.
Workers aren't a third party. Board membership isn't control.

Large international companies already have to adhere to this in other developed countries.

I love how idiots get the basic fundamentals wrong.
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Old 08-17-2018, 10:46 AM   #72
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Originally Posted by Loneiguana View Post
Golly gee, yeah think?

Unions, which Republicans use to love because they solved employer/employee disputes without government interference.
So you support the unionization of every American corporation valued at $1 billion or higher?
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Old 08-17-2018, 10:46 AM   #73
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Originally Posted by Jim Hammer View Post
In the 1060's CEO salaries averaged 20 times employees salaries.

Today, they average over 300 times what employees make.

You don't see anything wrong with that?
No, I worry about what I make? What someone else makes is irrelevant to me. If I am upset with my wages then I can either get a different job, work harder and advance, or increase my skills... Bitching about it never usually helps.
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Old 08-17-2018, 10:47 AM   #74
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Originally Posted by Jim Hammer View Post
In the 1060's CEO salaries averaged 20 times employees salaries.

Today, they average over 300 times what employees make.

You don't see anything wrong with that?
Would you be happier if the CEO's were poorer even if no one else was richer?
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Old 08-17-2018, 10:47 AM   #75
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Originally Posted by Jim Hammer View Post
In the 1060's CEO salaries averaged 20 times employees salaries.

Today, they average over 300 times what employees make.

You don't see anything wrong with that?
No.
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