According to Reuters, a number of American energy companies are looking into the possibility of relocating to Switzerland to avoid the 'war on business' that the Obama administration seems to be waging. America has the second highest corporate tax rate in the world, and the Obama administration has signaled that it plans to raise corporate taxes even higher. Do they honestly believe that companies who have the resources to relocate to other countries will not do that? Raising corporate tax rates puts a drag on the economy, it drives jobs overseas, and it increases unemployment. These do not sound like things we want to do during a recession. According to the article:
"Over the past six months companies including offshore drilling contractors Noble Corp and Transocean, energy-focused engineering group Foster Wheeler and oilfield services company Weatherfield International have all announced plans to shift domicile to Switzerland."
This is the true cost of increasing corporate taxes.
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