The U.S gives Diageo 2.7 billion in tax breaks to move their Captain Morgan distillery from Puerto Rico to St Croix. The distillery will employ a grand sum of 40 people!. Where do I sign up for a deal like that?
http://alcoholjustice.org/big-alcohol/5 ... bbean.html
Modern Piracy: The U.S gives Diageo 2.7 billion
Modern Piracy: The U.S gives Diageo 2.7 billion
in goes your eye out
-
Capn Jimbo
- Rum Evangelisti and Compleat Idiot
- Posts: 3550
- Joined: Mon Dec 11, 2006 3:53 pm
- Location: Paradise: Fort Lauderdale of course...
- Contact:
A most excellent link...
A most excellent link...
The link to "Alcohol Justice" is one that all readesr must visit (link above in da' Rum's post). This competent website points out the many abuses of the handful of mega-conglomerates that own literally hundreds of once independent distillers, and makers of beer and wine. It is a given that increasing profits and decreasing costs are the sole goals of the Diageo's, and they spend many billions of dollars to control markets, costs, and for significant "favors". In da'Rum's example Diageo was going to move their distilleries - en masse - from poor Puerto Rico to even poorer St. Croix.
Readers of "Confessions of an Economic Hit Man" will recognize the technique. These "hit men", though ostensibly independent, actually maintain interlocking ties with the U.S. government, mega-corporations and the World Bank (all dominated by the United States). The hit man finds and compromises key local officials and politicians by offerning huge personal rewards and compensation to accept their inflated offer and claims.
The result: a huge corporation gets local tax breaks with little oversight or regulation, the local politician gets filthy rich, and the locals get sold down the drain. In this case the move is even financed by the U.S. government, even though....
1. The move was planned (and profitable) already.
2. The US will get no tax revenue from the deal which benefits an international corporation whose only connection is via influential lobbyists who grease the skids.
3. The local people and workers of Puerto Rico get screwed, while the local people and workers of St. Croix get screwed worse.
All in all, it's business as usual.
The link to "Alcohol Justice" is one that all readesr must visit (link above in da' Rum's post). This competent website points out the many abuses of the handful of mega-conglomerates that own literally hundreds of once independent distillers, and makers of beer and wine. It is a given that increasing profits and decreasing costs are the sole goals of the Diageo's, and they spend many billions of dollars to control markets, costs, and for significant "favors". In da'Rum's example Diageo was going to move their distilleries - en masse - from poor Puerto Rico to even poorer St. Croix.
Readers of "Confessions of an Economic Hit Man" will recognize the technique. These "hit men", though ostensibly independent, actually maintain interlocking ties with the U.S. government, mega-corporations and the World Bank (all dominated by the United States). The hit man finds and compromises key local officials and politicians by offerning huge personal rewards and compensation to accept their inflated offer and claims.
The result: a huge corporation gets local tax breaks with little oversight or regulation, the local politician gets filthy rich, and the locals get sold down the drain. In this case the move is even financed by the U.S. government, even though....
1. The move was planned (and profitable) already.
2. The US will get no tax revenue from the deal which benefits an international corporation whose only connection is via influential lobbyists who grease the skids.
3. The local people and workers of Puerto Rico get screwed, while the local people and workers of St. Croix get screwed worse.
All in all, it's business as usual.
