Daily Kos

What profiteth a man

Thu Jul 10, 2008 at 04:14:31 AM PDT

We all hear a lot about Corporate Profits and assume that Bush has made the world
look rosy for US corporations at our expense. US Corporations may see it differently

One reason the Republican brand may be failing is that since 2006 annual corporate profits have dropped from 1708.8 billion a year (BDY) to 1637.6 BDY, and on top of that since 2000 the value of the dollar has dropped 20%.

Financial profits have dropped from 478.7 BDY to 435.9 BDY. Thats because housing and construction have tanked.  Nonfinancial profits have dropped from 987.9 BDY to 827.7 BDY. Manufacturing profits have dropped from 276.1 BDY to 224.3 BDY.

Fossil fuel profits have dropped from 102.2 BDY to 63.2 BDY.

Ok you say, they are still profits... well some industries such as electronics and motor vehicles are actually losing billions every year. Its one thing to see companies go bankrupt, but losing major industries is not good for our nations health. I can see where some of the guys with the sharp pencils wouldn't like the trend, and at the same time I'm curious whether taxing corporations to provide money for investment in alternative energy would really hurt foreign investment.

Us Corporations borrow money in order to make money. True, in the last two years US debt has risen to 10 trillion dollars or 20% of the total debt on the planet and close to the adjusted value of the US GDP. Is that enough to make China pull the plug on us if the rate of increase in profits continues to drop?

As a nation we use 87 million barrels of oil a day at prices that are knocking on $150 a barrel. Thats roughly 13 Billion dollars a day or almost a trillion dollars a year. Seventy percent of that money goes overseas.

Once the Republicans have spent all the money they can borrow, do the oil wars come to an end or do we lead the rest of the world into depression once again.

Can the oil wars end before we figure out where the energy to keep our nation running is going to come from? Is T Boone Pickens right about wind power being a solution or is he just remembering the days when they drilled for water in East Texas instead of oil and ran out of that.

Lets say we borrow more money and really invest in alternative energy, find solutions to global warming and war; where does the money for healthcare, social security, education and the stimulus to offset high oil prices come from?

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Tags: economy, taxes, oil, profits (all tags) :: Previous Tag Versions

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