Economic Update With Richard Wolff: Questions and Capitalism

On today's Economic Update, Professor Richard Wolff discusses the fact that federal authorities recently raided the headquarters of the Caterpillar Corporation in Peoria, Illinois over a possible tax evasion scheme. According to a report conducted by Professor Leslie Robison from the Tuck School of Business at Darthmouth College, Caterpillar has for at least for 12 to 15 year cheated the U.S. government out of billions in taxes by establishing a subsidiary in Switzerland and negotiating a tax arrangement with the Swiss government where Caterpillar will only be taxed 4% to 6% rather than paying the 35% tax rate in the U.S. When companies engage in these illicit practices, the United States loses billions in taxes, which leaves the government with very few options: One of them is to cut government programs, another one is to raise taxes on the people, or continue to borrow more money and put the United States further into debt.

Professor Wolff also talks about the possible replacement or the Republican version of Obamacare. Under this health care plan, fewer people will be insured, the rich will get bigger tax cuts, and the poor will get fewer benefits and less medical help. On another segment, Professor Wolff addresses claims made by ICE detainees that were forced to work for one dollar a day while being detained in private enterprise prisons such the GEO group. Apparently, detainees were often threatened with solitary confinement if they refuse to work under these labor conditions. As a result of these allegations, there will be pending a trial. Kristine Phillips, a journalist from the Washington Post covered this story under the headline: "Thousands of ICE detainees claim they were forced into labor, a violation of anti-slavery laws."

Professor Wolff informs viewers that the President of Harvard University, Drew Faust gave a speech where she acknowledged that early contributions that built up the University came from slavery owners and that Harvard should confront its dark history and complicity with slavery in the United States. Professor Wolff also addresses how billionaires monopolize the economy and how the current financial system disproportionately benefits a few at the top and marginalizes the vast majority of the people, not just in the United States, but around the world as well. Professor Wolff discusses the current financial crises in Puerto Rico and Greece where the only beneficiaries are bankers and sellout politicians, while people suffer and deal with the bad consequences. Lastly, Professor gives his own perspective on capitalism and questions its model. #MNN #RichardWolff #NYC #CaterPillar #Taxes #ObamaCare #ICE #Immigrants #Harvard #Monopoly #PuertoRico #Greece #Capitalism

Updates on Caterpillar tax evasion, Obamacare, slave labor for immigrants, Harvard and slavery, billionaires, Puerto Rico, and Greece. Major discussion: questions about capitalism. Economic Update airs Tuesday nights at 8PM on MNN 1 (TWC 34 & 1995, RCN 82, FiOS 33 and streaming on www.mnn.org). Previously aired episodes of Economic Update can be found on the Manhattan Neighborhood Network YouTube page.

For more information on Manhattan Neighborhood Network: http://www.mnn.org
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