tag:blogger.com,1999:blog-2761684730989137546.post4751453749261794647..comments2024-03-28T07:50:06.102-04:00Comments on Mike Norman Economics: Michael Perelman — The Anarchy of Globalizationmike normanhttp://www.blogger.com/profile/03296006882513340747noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-2761684730989137546.post-64285525610196366272014-10-29T15:39:38.576-04:002014-10-29T15:39:38.576-04:00The rich do not have this power over a country tha...The rich do not have this power over a country that understands and practices functional finance / MMT / monetary sovereignty. So the rich move offshore. Good riddance! Trying to arbitrage one state against another is even sillier. <br /><br />All the nation has to do is to decide to have full employment, as by a JG. Why on earth would a US state compete with another one for jobs when the central government guaranteed them? Which is why such tax incentive competition did not really exist in the postwar era.Calgacushttps://www.blogger.com/profile/06031818010224747000noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-69372153913723708612014-10-28T23:58:42.057-04:002014-10-28T23:58:42.057-04:00"The rich can effectively blackmail governmen...<i>"The rich can effectively blackmail governments to reduce regulations and taxes by threatening to move offshore."</i><br /><br />Interstate in the US, too.<br /><br /><i>As I discussed in an earlier Perspective,[1] the use of investment incentives is pervasive and growing. The most recent example [this was completed prior to the Tesla auction] of a big bidding war was when Boeing threatened to move production of its 777-X aircraft out of Washington state, prompting some 20 states to offer incentive packages to the company (including $1.7 billion from Missouri). In the end, Washington gave Boeing a package of tax incentives worth a record-breaking $8.7 billion over the 2025 – 2040 period to stay, and the unions made substantial concessions regarding pensions.</i><br /><br /><a href="http://www.middleclasspoliticaleconomist.com/2014/10/how-to-deal-with-growing-incentives_28.html" rel="nofollow">http://www.middleclasspoliticaleconomist.com/2014/10/how-to-deal-with-growing-incentives_28.html</a>Tom Hickeyhttps://www.blogger.com/profile/08454222098667643650noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-54809505988444771512014-10-28T23:09:24.801-04:002014-10-28T23:09:24.801-04:00So-called free trade undermines what I call "...So-called free trade undermines what I call "regulatory sovereignty." The rich can effectively blackmail governments to reduce regulations and taxes by threatening to move offshore.<br /><br /><i>For example, signatories of free trade agreements surrender their right to regulate imports of cigarettes or junk food, which might affect the health of their populations. The United States is particularly insistent in demanding that no country can prevent the marketing of genetically modified seeds .... These so‑called free trade agreements also regulate the regulation of virtually everything that an independent government might do.</i><br /><br />MMT recognizes the importance of monetary sovereignty but has been slow to catch on (with the usual exception of Tom Hickey and a few others) to the significance of regulatory sovereignty.<br />Dan Lynchhttps://www.blogger.com/profile/11189866002273597534noreply@blogger.com