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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Road Walker who wrote (172398)	1/9/2003 9:02:24 AM
From: Amy J	Read Replies (7) \| Respond to of 186894

Hi John & Thread, how does Bush's tax package encourage investors to invest in high-tech? It certainly doesn't jazz anyone I know, aside from the way overdue depreciation schedule correction on equip to match reality. The tax free dividend helps old industries that emphasize dividends, the old money, not high-tech.(maybe a bit with p/f.) If Bush wanted to help investors and help the economy, why didn't he simply provide a tax cut for investors - like a Capital gains tax cut? Or, a one-time business tax cut to encourage the $135B that's sitting overseas with US companies to come home to the USA into investments? To get an idea of the scale of that money, compare $135B to $140 billion in VC funding that occurred in 2000 according to an Internet article quoting Venture Economics. It's mind boggling Bush would turn his back on such a huge potential injection of investment opportunity for the US economy. I guess he'd prefer to see that kind of money stay overseas, maybe in China & India, where things are booming in some cities courtesy of US companies. Also, compare $135B potential to a $100B cost of an Iraq war that aids a certain oil company & a certain DoD vendor whose Boards he sat on, and it makes you think the next time there's a Bush in the office, it's better to just invest in the old industries and sideline all high-tech investments for four years until someone else gets into the Office. (Not that there's anything wrong with his DoD vendor company, but just the potential conflict of interest in the relationships, though at least this time around he's no longer a shareholder (I believe), but just has the strong buddy ties.) Before Bush announced his tax cuts (that do a lot to help his old industries, but don't do much to help high-tech other than maybe make it clear high-tech businesses should really move overseas in ever increasing force), I was inside a room that held some rather staunch hardcore Republicans, hightech industry folk and Bush's name came up. You could almost hear the oh-so-subtle near-hissing sound in the room. It was pretty shocking at how some of the most hardcore Republicans you could ever meet, aren't even supporting him here. One can see why Bush ignores California. He may have lost it, at least Silicon Valley. His so-called tax cuts to help businesses & investors simply make me eager to increase our startup's hiring and growth overseas and say, "Goodbye America", because our gov't leader here is somewhat less focused when it comes to high-tech. I hope the high-tech leaders don't cave in and turn their high-tech companies into old industry firms that waste huge amounts of company cash on dividend payouts to essentially the large shareholders, rather than putting the funds to work for stock growth. On another note, there was an article in SJMN by Scott Herhold that gave a pretty hilarious description of what one can now do to avoid paying capital gains taxes (under Bush's proposal)... you've got to read it (Wed. Business section). Basically what Bush has done, he's cut the last leg out of high-tech, through his best attempt to make old industry dividends increasingly more attractive than high-tech growth stocks by making old industry dividends tax free. Let's see, the real estate ndustry has capital gains that are tax free, the old industries have dividends that may be tax free, but let's tax the heck out of the investor's stock capital gains because Bush is (ironically) 'trying' to help investors invest their money. Huh? You've just got to love America's desire to grow, not. Foreign governments can be so much more motivated in other ways than ours here, especially if it's a small country. Bush is turning this country's business into defense and security. Maybe that's good for certain Bush's Board Buddies, but he's poison to high-tech. Regards, Amy J