Video: Porter on CNBC
In the segment with Larry Kudlow he makes the following points:
In the segment with Larry Kudlow he makes the following points:
- There is too much uncertainty right now so businesses are just trying to run themselves lean vs expansion and hiring. Much of the uncertainty is government related.
- Need to change the atmosphere. A war is going on between government and businesses and is really distressing from his point of view. Business feels attacked. Change of tone is needed or some new players in the adminstration who can change that tone.
- He advises companies to drive productivity and improve technology. Today, for the most part that is what business is doing by investing in software and capital equipment.
- US foreign investment is happening. The problem is lack of US domestic investment.
- Data shows that US domestic investment as % of GDP is actually lowest among OECD countries.
- Our individual companies are competitive globally but they hold back investment in the US because the cost and complexity (healthcare, litigation, taxes, other regulations etc.) of doing business in the states has piled up over the years. Each rule and regulation probably began with good intentions.
- In the Global Competitiveness Report, the US now ranks like a developing country in terms of cost and complexity of doing business.
- Health care costs highest in world.
- Business is spooked by the union proposals that are being made.
- Human resource pool is sometimes found lacking for certain skill sets and, in some cases, those skill sets have a comparatively high cost. Companies move investment globally wherever they can be most productive.
Having the lowest domestic investment as a % of GDP among OECD countries certainly needs to change.
Adam
This site does not provide investing recommendations as that comes down to individual circumstances. Instead, it is for generalized informational, educational, and entertainment purposes. Visitors should always do their own research and consult, as needed, with a financial adviser that's familiar with the individual circumstances before making any investment decisions. Bottom line: The opinions found here should never be considered specific individualized investment advice and never a recommendation to buy or sell anything.
This site does not provide investing recommendations as that comes down to individual circumstances. Instead, it is for generalized informational, educational, and entertainment purposes. Visitors should always do their own research and consult, as needed, with a financial adviser that's familiar with the individual circumstances before making any investment decisions. Bottom line: The opinions found here should never be considered specific individualized investment advice and never a recommendation to buy or sell anything.
