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Sunday, September 7, 2008
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Incentives Equals Taxes

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I have a bit of a problem with "4. Providing incentives for private-sector R&D, so that American businesses remain at the forefront in developing new technologies and turning them into new products and services." Such incentives already exist. They are called "profits." The only way for government to provide incentives is to use tax revenues. If American business has come to the point that it has to use my taxes to pay for its R&D, then the capitalist system is in great danger indeed. I'll tell you what, Bill, you tell me the nature of the R&D in which you propose to invest my taxes, including your projections as to the rate of return I can expect if the effort is successful, and I will let you know whether you can have the funds. Otherwise I suggest that American business pony up its own R&D funding, thereby keeping the incentive to R&D an area that is likely to earn that money (+ profit) back.

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