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  • Essay / What is business inversion? - 1079

    Tax inversions can result in a greater flow of revenue to the United States and, therefore, expand operations at a lower cost than competitors. Since many of these companies, which use tax inversion, are among the largest in the world, they influence many economic factors. If a business has more liquidity, then it is more likely to expand and create job opportunities that help grow the economy. Similarly, when a company's profits increase, shareholder wealth also increases, because stock prices are determined by the company's expected and actual profits.