i can take my business elsewhere much easier than i can taxes. also. big corps don't have this neat little luxury called printing money.
The only allegiance most corporations have in a plutocracy is to their share holders. Big Business has an enormous influence on our political representatives. Bailouts with out accountability, continued exclusive rights to virtually free money via the fed for only the largest financial institutions. Billions in annual subsidies to the most profitable industry the world had ever know, big oil. The bloated MIC? These are just a few Corporate sectors receiving all the benefits of being able to print money without the aggravation of having to actually print it. The only thing preventing Corporate America from completely taking this country back to the age of the "Robber Barons" is an American's right to vote. Citigroup Plutonomy Report Part 2
Mar 5 2006
RISKS -- WHAT COULD GO WRONG?
Our whole plutonomy thesis is based on the idea that the rich will keep getting richer. This thesis is not without its risks. For example, a policy error leading to asset deflation, would likely damage plutonomy. Furthermore, the rising wealth gap between the rich and poor will probably at some point lead to a political backlash. Whilst the rich are getting a greater share of the wealth, and the poor a lesser share, political enfrachisement remains as was -- one person, one vote (in the plutonomies). At some point it is likely that labor will fight back against the rising profit share of the rich and there will be a political backlash against the rising wealth of the rich. This could be felt through higher taxation on the rich (or indirectly though higher corporate taxes/regulation) or through trying to protect indigenous [home-grown] laborers, in a push-back on globalization -- either anti-mmigration, or protectionism. We don’t see this happening yet, though there are signs of rising political tensions. However we are keeping a close eye on developments.