Apple creates poor societies
The GoodElectronics Network and SOMO have published a paper about Apple’s business model and its impact on society. "Rich corporations, poor societies. The financialisation of Apple" explains how Apple is short-changing societies by seeking to maximize financial returns on its enormous profits instead of reinvesting that value into the real economy.
While perhaps one of the most extreme examples, Apple is just one of countless multinational corporations that have collectively come to embrace Wall Street’s maxim of maximizing shareholder value at all costs, leading to a global ‘race to the bottom’. The overall outcome of these developments is paradoxical.
When corporations avoid paying their fair share of taxes, governments around the globe are forced to raise rates for other types of taxes (such as sales taxes)and/or reduce investments in public services. All this at comes a time when workers worldwide are struggling with reduced purchasing power. As a result, mounting corporate riches based on cheap labour and relentless tax dodging reinforce ballooning public and private debts.