Quote:
Originally Posted by spence
Improved worker productivity is a fact of life, if your business isn't looking to get more from existing investments they won't be alive for long.
With the disproportionate amount of health care that seniors consume the need for medical devices would logically rise in conjunction with retiring baby boomers. The amount of innovation driven demand suggests increased R&D to take advantage of this demographic shift which is supported by industry observations.
I would agree that increased regulatory pressure will stress the supply chain as OEM's have been quick to push liabilities downstream, but this also brings opportunity for innovation which has tangental benefits to other supporting industries. Many precision manufacturing companies are doing quite well I might add.
If the med device tax is implemented suddenly I could it see it causing lost some job loss for companies who aren't managing their cash flow well. Longer term though I think there will be tremendous opportunities for those positioned to efficiently capture share in expanding markets...especially internationally.
-spence
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Spence..have you ever actually owned or run a business?...because I read this from you which is little more than hypothetical musing, waxing poetic about how government intrusion and taxation will actually benefit a company and what might occur due to this or that to justify a tax that, from what I read, people that are actually running these businesses affected insist it will have a serious negative effect....as pointed out....sounds like the same crap that we heard about Solyndra and the like.....they were going to capture share in expanding markets too, need would logically rise and on and on...and the government was giving them a ton of dough and they weren't being burdened with a large excise tax....
"Even if the tax cannot be totally undone, it's hoped within the industry that some of its most onerous provisions could be changed. One goal, for example, is to exempt start-ups from the tax for a certain period of time.
That said, some of the staunchest opponents of the tax remain hopeful that it will be repealed, citing support from Democrats in the House and the Senate. Even liberal U.S. Senator-elect Elizabeth Warren (D-MA), mindful of medical device employment in Massachusetts, is opposed to the tax. Senior Massachusetts Sen. John Kerry has also expressed concern about the tax. Even if the Senate can muster enough votes to support a House-initiated repeal, it's doubtful that Congress could overcome a presidential veto.
Widespread cutbacks have already begun at some major medical device makers. Some are citing the new excise tax as the cause. Others are citing slowing demand coupled with growing pressures to reduce costs of medical devices. It will be interesting to see if jobs are reinstated if the device tax is fundamentally revised."
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this is an arbitrary tax that was dreamed up by the authors of Obamacare to try to help fund it because they felt the manufacturers were an easy target ...and you strain to explain that the companies being whacked by the tax will probably benefit .....unbelieveable