Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

xchrom

(108,903 posts)
Mon Jun 17, 2013, 06:54 AM Jun 2013

How Corporate Greed Is Starving Our Public School System

http://www.alternet.org/corporate-accountability-and-workplace/how-corporate-greed-starving-our-public-school-system

***SNIP

Corporations Neglect Their State Tax Responsibilities

For 2011 and 2012, the 155 companies paid just 1.8 percent of their total income in state taxes, and 3.6 percent of their declared U.S. income. The average required rate for the 50 states is 6.56 percent.

***SNIP

Unpaid State Taxes Are More Than ALL the K-12 Cuts

A comparison of the above results with educational cutbacks shows the devastating impact of tax avoidance on our children. A Center on Budget and Policy Priorities (CBPP) report revealed that total K-12 education cuts for fiscal 2012 were about $12.7 billion. A separate analysis of CBPP data shows total 2008–12 cutbacks of about $20 billion. According to the Census Bureau, K-12 funding rose about 5% a year from 1998 to 2008, after which it leveled off and began to decline.

***SNIP

Games Corporations Play to Take Our State Funds

Maddening as this is, a look at behind-the-scenes corporate subterfuge makes it even worse. A Good Jobs First report describes how companies play one state against another, holding their home states hostage for tax breaks under the threat of bolting to other states, with the whole process masked in inspirational language: "business recruitment" and "retention incentives" instead of the more accurate description of transferring jobs to the state that offers the most generous subsidies. The report notes that "This is a net loss game, with footloose companies shrinking the tax base necessary for the education and infrastructure investments that benefit all employers."

***SNIP

The Impact on All of Us

The end result of this hostage-taking is a breakdown in public services, most notably in education. Schools are deemed to be "not working," and a frantic rush toward privatization leads to even more tax cuts for the business interests charged with the responsibility of "fixing" the broken system. But rarely are we informed that it's our self-serving business and political leaders who broke the system.
21 replies = new reply since forum marked as read
Highlight: NoneDon't highlight anything 5 newestHighlight 5 most recent replies
How Corporate Greed Is Starving Our Public School System (Original Post) xchrom Jun 2013 OP
Broke the system, chervilant Jun 2013 #1
That's what it feels like. nt LWolf Jun 2013 #20
kr HiPointDem Jun 2013 #2
K/R marmar Jun 2013 #3
i don't know. i would've thought the Crash would've been enough. it wasn't though. nt xchrom Jun 2013 #4
The marketing strategy has been effective. reteachinwi Jun 2013 #7
Very Flawed analysis and nothing more than an opinion piece with poor facts ceonupe Jun 2013 #5
Per student spending in the US is NOT "way more per student" than other countries. mbperrin Jun 2013 #11
Great link! Recommended! femmocrat Jun 2013 #12
but over 10 countries that spend less per student outpace us ceonupe Jun 2013 #17
Check the poverty rates. knitter4democracy Jun 2013 #18
So you agree that money for poverty districts is necessary? mbperrin Jun 2013 #19
YES ceonupe Jun 2013 #21
Their math is very flawed ceonupe Jun 2013 #6
K&R nt abelenkpe Jun 2013 #8
Race to the bottom. ctsnowman Jun 2013 #9
K&R ReRe Jun 2013 #10
K&R'd. Perhaps this would be an appropriate place to note this: snot Jun 2013 #13
In Pennsylvania: femmocrat Jun 2013 #14
Is it just me or does it seem like some corporations Lunacee_2013 Jun 2013 #15
K&R G_j Jun 2013 #16
 

reteachinwi

(579 posts)
7. The marketing strategy has been effective.
Mon Jun 17, 2013, 07:55 AM
Jun 2013

People believe private voucher schools will be better.

Like many ALEC efforts, this one was first implemented in Wisconsin. ALEC has dozens of bills related to this topic, along with books and analysis. in 1993, ALEC gave its first "Adam Smith Free Enterprise Award" to school privatization advocate and funder Richard DeVos. In the early 1990s, under the leadership of longtime ALEC member Tommy Thompson, Wisconsin was the first state in the nation to implement a voucher program using public funds to send children to private schools.

http://www.alecexposed.org/wiki/Privatizing_Public_Education,_Higher_Ed_Policy,_and_Teachers

 

ceonupe

(597 posts)
5. Very Flawed analysis and nothing more than an opinion piece with poor facts
Mon Jun 17, 2013, 07:39 AM
Jun 2013

Very Flawed analysis and nothing more than an opinion piece with poor facts

THe article assumes all money these companies made would or should have been taxed in the US instead of the countries whereit was earned.

Lets see what about the other countries do they have the right to tax the way they want to on business done there?

The world is global and so are profits.

A better focus on reforming tax laws is better than complaining about companies complying with the current system,.


Its quieter on these boards about it but the truth is most of the deregulation that allows this was started under Clinton not Reagan or Bush 1.

Yes education is important and many believe in under financed but no one can explain to me how why in america we spend way more per student than many of the countries far ahead of us in academic excellence.


Create an incentive to repatriate these products or change the current laws but complaining that "Hey the are following the rules and making extra money" rings hollow to me.

mbperrin

(7,672 posts)
11. Per student spending in the US is NOT "way more per student" than other countries.
Mon Jun 17, 2013, 09:51 AM
Jun 2013

Pretty close to middle of the pack, really.

http://www.guardian.co.uk/news/datablog/2012/sep/11/education-compared-oecd-country-pisa#spending

Now who are all those thrifty countries who are far ahead in academic excellence? Name a few, please.

 

ceonupe

(597 posts)
17. but over 10 countries that spend less per student outpace us
Mon Jun 17, 2013, 10:15 AM
Jun 2013

but over 10 countries that spend less per student outpace us. I admit allot of it is cultural and the role schools/education play in a childs life.

But lots of countries spend less yet perform better.

Edit not: My step father was assistant superintendent for a large school system for years. Prior to that he helped in a landmark legal case that shook public education in NC for poor counties. In nc the local communities provide much of the support for schools but by state constitution it is the states responsibility to ensure even poor counties can provide that education thus the state now give extra monies to poor counties who cant afford to subside their schools.

knitter4democracy

(14,350 posts)
18. Check the poverty rates.
Mon Jun 17, 2013, 10:18 AM
Jun 2013

Many studies over the course of decades show that test scores are tied to poverty rates. Those countries that outpace only do so when the child poverty rate isn't taken into account. Deal with that, and we're at the top of the pack.

mbperrin

(7,672 posts)
19. So you agree that money for poverty districts is necessary?
Mon Jun 17, 2013, 12:24 PM
Jun 2013

And will you agree that US spending is just middle of the road?

In fact, here in Texas, per-pupil spending has been cut 27% by the state in the last two years, and we're supposed to be a hot economy.

 

ceonupe

(597 posts)
21. YES
Mon Jun 17, 2013, 04:56 PM
Jun 2013

Funding for schools should be a state priority. Shifting it to the local counties leads to huge diffreces in quality of education. This is not to say some counties dont chose to invest more intheir school with suppluments but the base funding fro mthe state should atleast be adequate. In our state that was not the case.

 

ceonupe

(597 posts)
6. Their math is very flawed
Mon Jun 17, 2013, 07:41 AM
Jun 2013

To assume tax liability should be based on Gross receipts is crazy and very intellectually dishonest. Even President Obamas taxes do equal his tax rate on his gross.

ctsnowman

(1,903 posts)
9. Race to the bottom.
Mon Jun 17, 2013, 09:19 AM
Jun 2013

In CT we are giving tax breaks to companies sometimes roughly a million $ per job. Welcome to Corporatocracy.

snot

(10,529 posts)
13. K&R'd. Perhaps this would be an appropriate place to note this:
Mon Jun 17, 2013, 09:59 AM
Jun 2013

DU teachers' relatively concerted responses to the question, what's really happened to public education since the 70's? Defunding was a big part of the answer: http://www.democraticunderground.com/11246743

femmocrat

(28,394 posts)
14. In Pennsylvania:
Mon Jun 17, 2013, 10:04 AM
Jun 2013

Our evil repuke governor Core-butt is trying to gut public education while offering magnanimous tax breaks to corporations.

In addition, the state offers programs giving tax breaks to corporations for funding private schools and offering scholarships to students who wish to transfer from "failing" (code word for public) schools.

http://blog.heritage.org/2012/07/05/pennsylvania-approves-private-school-tax-credit-program/

Lunacee_2013

(529 posts)
15. Is it just me or does it seem like some corporations
Mon Jun 17, 2013, 10:07 AM
Jun 2013

might be rooting for public education to die? If it dies, then they not only get to run their own schools (for a fee of course, and they get to choose who learns what), they'll also have a surplus of less educated workers, who will have no other choice but to work for whatever low wages they can get, under all kinds of conditions.

I can't remember which republican said it, but hasn't the right hated higher education, because people who have more education tend to vote democrat?

Latest Discussions»General Discussion»How Corporate Greed Is St...