2. Cap and trade is an unmitigated disaster to implement during a jobs depression since it will raise energy costs on every business except farms, which gain, and some others like oil companies and utilities. It is still not even clear how the program that Pelosi rammed through the House of Representatives will work. One thing is certain, and that is it will make us even more uncompetitive in exports and will cost us jobs and will increase our trade deficit. It is an amazing piece of legislation to push during a jobs depression.
3. EPA CO2 rules that go into effect next year. These rules will also increase the costs to all businesses, but small and medium businesses will feel it the most. It will certainly cost us jobs and make us less competitive like No. 2 above.
4. Taxing the overseas profits of our multinational corporations and limiting the deductibility of expenses incurred in the U.S. that support overseas operations. This little number will cost us many good jobs as many companies will fire their U.S.- based employees and replace them with foreign workers overseas whose salaries and expenses will be deductible. I think that many businesses will opt to change their legal domicile to an overseas location if this provision passes. While it is on the table, it is a job killer.
4. The so-called card check law that would do away with a secret ballot when a union wants to organize a company is a very dangerous antibusiness piece of legislation. The proposed law has a mandatory binding federal arbitration feature as well. This feature requires that if the new union and management cannot come to terms, then a federal arbitrator will set the wages and working conditions for the business. If this happens, many small- and medium-size businesses will not have the resources to fight the union, and many will not survive. Chrysler and GM set the template for what will happen if the Congress and President Obama pass this law. The union and government will end up owning the company after the government and the unions drive the company out of business. This law will make us more uncompetitive and raise the costs of production, which will increase inflation, and increase our trade deficit at the same time until imports replace the company's former production.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV