Yes, profit transfer is a problem, but it’s not nearly as big a problem as you make it out. Companies can’t just make it up on their own, there are accounting r

Yes, profit transfer is a problem, but it’s not nearly as big a problem as you make it out. Companies can’t just make it up on their own, there are accounting rules they must follow. Secondly, there is a simple and much better solution that would boost everyone’s economies. Stop taxing investment and savings, tax consumption instead. In the US it would be as simple as taxing capital gains and dividends at higher ordinary income rates, while no longer taxing corporate income at all. That would increase capital for building new businesses, while restoring progressivity to the tax code.