Corporate profits

Corporate profits relative to GDP

Citi Research We have all seen this painting before. These are corporate profits as a percentage of GDP. The implication is that record profit margins are an anomaly due to too few workers working too many hours for too little pay. Stock market bears warn that margins are bound to return to a long-term average. […]

Corporate profits

Corporate earnings remain strong | Looking for Alpha

Today’s first revision to second quarter 2013 GDP growth (which was revised upwards from 1.7% to 2.5%) led to the first glimpse of corporate earnings for the quarter, and the news has been great. After-tax corporate profits hit a new record high of $1.68 trillion, up 7% from a year ago. It’s actually in the […]

Corporate profits

If corporate profits are at an all-time high, why are corporate taxes near their 60-year low?

Apple is a unique company in many ways, but when it comes to the cavernous difference between its historically high profits and relatively low corporate tax rate, the company is no exception. It is a microcosm. In fact, corporate profits have been rising as a share of the economy since the early 1980s…just as the […]

Corporate profits

Corporate profits devour the economy

Here are two things that are true about today’s economy. (1) The Dow Jones Industrial Average is poised to set a new record high as corporate profits hit all-time highs. (2) There are even fewer American workers today than before the start of the Great Recession. The fact that both of these things could be […]

Corporate profits

Gap between corporate profits and wages hits post-war record

Republicans tried to demonize President Obama in the election by calling him a socialist, bad for the economy, bad for America, and a big disappointment. “The president didn’t fail you because he wanted to,” Mitt Romney said in his acceptance speech at the 2012 Republican National Convention. “The president failed America because he didn’t lead […]

Corporate profits

Corporate profits hit a record as wages are slashed

Corporate profits hit their highest percentage of GDP on record in the third quarter. Just four years after the worst economic shock since the Great Depression, US corporate profits are stronger than ever. Third-quarter corporate profits were $1.75 trillion, up 18.6% from a year ago, according to last week’s gross domestic product report. This boosted […]

Corporate profits

Bringing foreign company profits back to the U.S. isn’t necessarily a job boost

US companies would rather keep offshore profits offshore than face 35%… [+] in corporate income taxes. Should they bring him back? Republicans want another tax holiday. The White House is okay with that, as long as it’s part of long-term corporate tax reform. Letting U.S.-domiciled multinationals take profits overseas at less than the current top […]

Corporate profits

Workers’ wages in pursuit of corporate profits – Out of the ordinary

The 2010 total of 62.1% is nowhere near the record share of 54.5% set in 1929, the first year for which figures are available. But it’s the lowest for any full year since 1965. In the first quarter of 2011, it slipped again, to 61.7%. National income, as calculated by the Commerce Department, is similar […]