![What should Trump and Biden say about the key economic issues of our time on Thursday?](https://prosperousamerica.org/wp-content/uploads/2024/06/CPA-Trump-Biden-Debate1-Featured.jpg)
CPA’s Jeff Ferry: An Economist’s Wish List On The Trump/Biden Debate
When asked about China, both Trump and Biden should say that China’s trade surplus is an insult to the world and a huge disruptor to our economy.
The Coalition for a Prosperous America fights for tax reform that supports rebalancing trade, rebuilding domestic supply chains, and penalizing the offshoring of production or profits.
Pro-American Tax Policies.
CPA advocates changing our current international corporate tax system to sales factor apportionment because domestic companies should not be undercut by foreign and multinational corporations who can shift profits overseas to gain a tax advantage.
CPA supports shifting towards a goods and services tax, offset by reducing domestic taxes on production. Value added taxes give companies in foreign countries an unearned trade advantage. A US goods and services tax would help domestic production and reduce the trade deficit.
CPA supports tax incentives to spur new productive investment and employment as part of a broader strategy to re-shore or build industrial supply chains in the US. These incentives should be combined with assuring a strong market for domestic production here and protection from foreign trade predation.
When asked about China, both Trump and Biden should say that China’s trade surplus is an insult to the world and a huge disruptor to our economy.
CPA’s chief economist Jeff Ferry joined two other panelists Wednesday to talk trade in an hour-long webinar by Industry Week magazine titled the “2024 Manufacturing Economy First Half Checkup.”
Last week, Republicans and Democrats from the Senate’s Joint Economic Committee squared off against each other – with one side arguing in favor of industrial policy programs like the Inflation Reduction Act – and the other side arguing in favor of lower corporate taxes.
The legislative package will end tax breaks for Chinese stocks, restrict sanctioned Chinese companies’ access to U.S. capital markets, increase transparency on risks to American corporations, and reduce exposure to these risks for retail investors and other Americans saving for retirement.
“Our tax code is supposed to support American manufacturers in building out genuine domestic supply chains. It shouldn’t be exploited by the Chinese Communist Party,” said Brown.
In January, the House of Representatives will vote on whether or not to close the current “water’s edge” loophole written into state tax law.