4 ms·

If businesses started creating child companies (for any reason) it would result in substantial job creation.. so this sounds like a win-win to me.

• kortilla 7y ago
  Presumably you’ve never heard of shell corporations. Child companies do not imply jobs.
• tempestn 7y ago
  Can you elaborate? It seems to me that if a single corporation just split their operations into multiple separate child corps, it wouldn't necessarily result in job creation. (Duplicated positions could just be contracted to a single company in the group, for instance.)
• inetknght 7y ago
  I don't see any guarantee here that splitting a business will create jobs. 1) Business A has 1B in profits with X number of employees, gets taxed. 2) Business B splits into 10 businesses with 100M in profits and X/10 number of employees per business unit, and doesn't get taxes.
  • cronix 7y ago
    Sounds like Business B is going to need 9 new buildings. Are they built already?
    • luckylion 7y ago
      A single building can support multiple mailboxes. Hey, a single mailbox can even support multiple stickers!
    • sokoloff 7y ago
      Why would they need new buildings? If all their operations fit into their current buildings today, they'd all still fit tomorrow as well.
• gotoeleven 7y ago
  Maybe we should require that everyone break at least one window on their house once a year. This would create a lot of great window repair jobs.
• NullPrefix 7y ago
  Substantial job creation of ceo and accountant positions, that is. Shell companies do not really employ people.
• sf_rob 7y ago
  This is the broken window fallacy. If our goal is to increase employment rates then we should support policies that do so where human productivity is most efficient.
• ImprovedSilence 7y ago
  I think you mis-understand just how easy it is to create a corporation with no employees...