CSR part 3

Contours of Corporate Citizenship

• Corporate citizenship encompasses various aspects of societal responsibility and equality.

Political Equality

• Campaign Spending and Lobbying:

  • Corporate involvement in politics is highlighted through campaign financing and lobbying efforts.

  • Reish's De-escalation: Focuses on reducing excessive campaign spending to ensure political equality among individuals and corporations.

Equality Before the Law

• Law Compliance:

  • Corporations must obey the law or face penalties.

  • Corporate Accountability: Large corporations, especially banks, should not incorporate legal violations into their business models merely as a cost of doing business.

• Prosecution of Corporate Executives:

  • Advocates for harsher penalties for executive wrongdoing, encouraging imprisonment over fines to deter illegal activities.

Fair Tax Contribution

• Tax Obligations:

  • Corporations should contribute fairly to taxes rather than avoid them.

  • Historical Tax Trends:

    • Individual tax burdens have remained steady since the 1940s, while corporate taxes have sharply declined.

  • Recent Developments:

    • After the tax cuts in March 2018, corporations have been paying as little as 11% in taxes.

  • Tax Evasion Examples:

    • Approximately 60 companies, including major names like Amazon and Apple, paid no taxes in 2018 and some received federal refunds.

Fair Wages for Employees

• Wage Concerns:

  • Full-time workers should not need welfare support due to low wages.

  • Stagnant Wages:

    • Wages have remained flat or fallen since the 1970s, despite rising productivity.

  • Income Disparity:

    • Executives earn, on average, 250 times more than their average employees.

  • Economic Implications:

    • Fair wages lead to increased consumer spending, which accounts for 70% of all economic activities.

    • Higher earners spend a smaller portion of their income on necessities, leading to weakened consumer demand and slow economic growth since 2008.