Paladin06

New York Times 02/14/06 -- By Paul Meller
The World Trade Organization ruled yesterday that tax breaks the United States gives to some of its largest companies are illegal and the European Union said it would impose new trade sanctions in three months unless the tax breaks were abolished... The ruling is the second in four years involving tax breaks that the United States granted to 6,000 exporters, including Boeing, Microsoft and General Electric, initially under the Foreign Sales Corporation program and subsequently under the American Jobs Creation Act... The dispute about tax breaks for American companies dates back to the mid-1980's but it became more complicated when the United States and the European Union both turned to the World Trade Organization to try to resolve a separate dispute over subsidies to Boeing and Airbus.

1 Bad Mirada

why does this effect me?

Paladin06

All of these major companies export millions of dollars in goods and merchandise every day. If the EU imposes the sanction, then there will be no market or a considerably reduced market, which means more major layoffs, which means much higher unemployment . It's called the ripple effect or trickle down effect. A major economic impact to on our nation.

Think of it this way. What does it take to make a car. I mean every single piece. Now think about where all those pieces come from, not the car manufacturer. There are companies with employee populations from 10 to 10,000 all across the country that support the building of that vehicle. When the is not built.........

OK, I'm done. Off my soap box.

deranged

I think most countries are guilty of this to some degree. a common term most people will recognize is tax subsidies.

Paladin06

BINGO!!!!

Air Bus in the EU!!

1 Bad Mirada

i gotcha now...

but im already unemployed...so i guess that ive been "rippled" already...[:@]

MGDMike

The EU seems to be getting a little shady in my opinion. What a nice confederation they have going on...My question is this: If the EU derives its powers from among the individual States that it makes up, then are all of the countries over there in unison with this?

RLSH700

First of all, I wouldn't put much weight in what New York Times has to say. There is a reason why they are having financial problems and lower sales of papers. Secondly, shouldn't the WTO be more concerned about the pyrating China is doing, if they are a member of the WTO? Thirdly, the EU shouldn't be talking about us doing anything illegal nor wrong, they were heavily involved in the oil for food scandal. Fourth, why should we give up our rights to give tax cuts or tax subsidies? The last European country that tried to screw with our taxes were the British. This lead to the Revolutionary War. I think it's time we get out of these stupid anti-U.S. organizations, like the UN, NATO, and WTO. They always criticize us, leech money from us, and try to make things difficult for us. They are interfering with our rights under democracy. Our founding fathers did not add an article that included these organizations, nor have we made amendments, and this is not something that would fit under the necessary and proper clause.