So, Mitt is upset with Barack because Barack claims Mitt was still involved with making management decisions at Bain Capital after 1999. What happened after 1999 that is so damaging to Mitt?
Bain “outsourced” jobs to foreign countries. You know, where businesses can hire people for less money and pay fewer taxes? HORRORS.
Mitt is way too uptight about this. He should mock Barack for getting his facts wrong and not understanding that owning shares in a company does not equal making decisions for a company. But no, Mitt has to act like outsourcing jobs is some horrible sin that makes him a criminal. Even if he did it, it just means he understands how things actually work. He should own that. He should explain.
Companies exist to create products or provide services to customers. This should not be controversial, but apparently it is. The cheaper the company can do this, the more product it sells or services it provides. This makes consumers happy, because saving money on one purchase means that have money left over for other things.
(Little known fact ignored by the media: You, me and everyone we know are consumers. Yep. It’s true! WE benefit, all of us, from lower prices. Blacks, whites, Native Americans, blue bloods and mutts; Christians, Muslims, Jews, Buddhists and atheists; homosexuals, asexuals, transexuals and even heterosexuals! We all benefit. Let that soak in for a bit. It could change your entire world view. It would certainly change Obama’s.)
Mitt, thankfully, is pointing out that Barack’s policies promote outsourcing by raising taxes on people in corporations. When people making decisions for corporations can operate more cheaply somewhere else, they will. Again, this should not be surprising, but apparently it is: “What:?! They are moving facilities where they can pay fewer taxes!!!! How could they?!!! That is just unbelievable!! Who EVER would have thought of such a thing?! How can we make policy when people CHANGE behavior based on how much we make them pay in taxes?!!”
Outsourcing allows companies to stay in business. It allows them to stay competitive. It allows them to produce things so poor people can afford them. (What? Low prices help poor people…..? This … is… so… radical…..Can not… process…..)
If Mitt would just quit pretending he doesn’t understand this, we’d all be better off. By pretending outsourcing is evil, he is allowing Barack to sell his message that higher prices are awesome. They are not. Not for anyone.