Date: Sat, 1 Nov 2008 17:34:35 -0700 (PDT) From: Mervyn Lobo <[EMAIL PROTECTED]> > The Indian economy does not depend on handouts from the USA. > Mario responds: > The USA does not provide the Indian economy with "handouts". It provides the Indian economy with a significant amount of business for India's goods and services, which would be sharply reduced if Obama wins and carries out his threats to raise taxes and federal spending and introduces trade protectionism to compensate the labor unions that supported him. > Mervyn wrote: > The Indian economy now runs on the expertise of private entrepreneurs who are more than capable of adjusting to decreases in demand from?any sector. > Mario responds: > Decreases in demand slow the growth of an economy, whether their businesses "adjust" to them or not. Furthermore, there is a negative ripple effect on the entire economy from the "adjustment". > Mervyn wrote: > In additional, the bigger Indian companies are now buying companies in?Europe and N. America to secure their markets. If anything, the USA should be more concerned that US companies will become branch offices of Indian companies, depriving the US of corporate HQ taxes. > Mario responds: > If you were familiar with the US system you would know that the US has never been concerned about the ownership of companies that operate in the US. That is part of its contribution to the world. > If you were familiar with the US tax system you would know that anyone who operates in the US pays income taxes on the net profits of their US operations, regardless of where they are HQ. There are no special HQ taxes in the US. > Mervyn wrote: > As far as the elections in the US are concerned. I am now willing to bet Obama will win the perfect trifecta i.e.: 1) the Presidency 2) majority in Congress 3) 60 seats in the Senate. > Mario responds: > We will find out soon enough. In 2004 John Kerry was leading in the polls by 6 to 8% ON ELECTION DAY. By the time all the actual votes were counted, Bush had won by 3%. > The good news if you are correct is that no one will be able to dilute or obfuscate who is to get credit or blame for the results we will see in the near future. >
