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Politics : American Presidential Politics and foreign affairs -- Ignore unavailable to you. Want to Upgrade?

To: DuckTapeSunroof who wrote (43519)	5/26/2010 9:16:23 PM
From: TimF	Read Replies (1) \| Respond to of 71588

What the Hdll is a 'net subsidy'? Already answered. If I give you $5 but tax you $10, than in a sense of given you a subsidy, but you have not received a net subsidy. The oil companies are in this situation. They pay more in taxes than they receive in subsidies. Even ignoring the corporate income tax (since other companies also pay it), the governments at the state and federal level receive more revenue from the oil industry than they pay out in subsidies to it. The net subsidy to the oil companies is negative, or in other words they are not subsidized entities.