Cut corporate taxes AND corporate welfare 

President Obama occasionally talks as if he dislikes corporate welfare. This week, with Big Oil as a handy boogeyman, Obama said we should stop subsidizing them. I heartily approve of ending all subsidies, and I hope he doesn't stop with Big Oil subsidies, but also with subsidies for General Electric, Boeing, Duke Energy, Pfizer, Goldman Sachs, and so on.

President Obama has also said he wants to cut corporate tax rates. Thomas Firey at Cato proposes marrying the two together: corporations get lower tax rates, and fewer handouts:

So, let’s get cracking on a corporate tax rate cut. Forget about the corporate loopholes, and instead match a rate cut with cuts to business subsidies, such as farm handouts.

Firey only mentions farm handouts. Off the top of my head, I would propose abolishing the Export-Import Bank, the Energy Department's loan guarantee programs, the Overseas Private Investment Corporation, the sugar program, and the Treasury Department's renewable energy grant program.

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Timothy P. Carney

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