As you know I am all pro-small biz and dislike the advantages given big biz... That Sec Ag Earl Butz repeated the policy of the USGovt that the Agricultural policy of the USA is get big or get out. Here is a particularly raw example, wine division...
Preface, "duty drawback' is nothing new but it always has meant exporting what was once imported (if it is not consumed, then no duty necessary) apparently big wine got a special deal... Spend about 30 minutes studying this and you'll learn a lot. As usual, a problem and an opportunity.
Here is the rule
http://www.ttb.gov/itd/wine_producer_taxpaid.shtml
Here is the effect
http://aic.ucdavis.edu/publications/Drawback831.pdf
Proposed change 2006
https://www.federalregister.gov/articles/2009/10/15/E9-24789/drawback-of-internal-revenue-excise-tax
No change 2010
http://www.observertoday.com/page/content.detail/id/535736.html
These rules are either a tax on small wineries or a subsidy on big wineries. The UCDavis studies say that small wineries cannot take advantage, but that is not necessarily true. Truly they do not have the economies of scale, and are unlikely to be importing and exporting (a prerequisite to make the deal work) but doing both is possible, even advisable if a small winery wants to export. (I've blogged here before on the 3M strategy of export dev.)
In the last 40 years, being in business has always meant endless unfair rules and regs. Being in business, in part, is living with this third world mind set among those in government in USA. That will not change, for if it is not this problem, they'll come up with another. But when in history were not the powers that be a plague on peace and prosperity?
The most revolutionary act a person can perform is to start a business. Self-employment is an existential threat to those who populate the government in support of the powers that be. It is nonviolent, it directly helps people and it is the only thing the bad guys actually fear.
Forget about going into academia, ministry, medicine, labor law or any other field. If you really want to help others and make the world a better place, start a business.
Feel free to forward this by email to three of your friends.
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