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Mitt Romney: savior of corporate America?

If Mitt Romney were to win the US presidential election it could lead to giant corporate balance sheets being put to use, Morgan Stanley says.

 

This bodes well for future company spending, particularly as Milligan believes there is a danger that if firms don’t use their cash they could end up losing it. ‘In Europe, for example, there have been examples of governments seeking extra taxation from sectors such as oil and gas or utilities,’ he said. ‘Politicians could seek new sources of funding for politically important projects, say tackling sensitive issues such as youth unemployment.’

It is hard to see Romney going down this route but it is going to take a definitive policy move – or threat thereof – to get corporate America to start spending.

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9 comments so far. Why not have your say?

Rob Walker

Aug 17, 2012 at 06:58

Sadly this article is written as if the result would be good news. We saw the in the last 'Completely Bull' market with George Bush which the world is still paying for. As soon as confidence returns the thieves are back in town. Why do these optimists keep hitting themselves?

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Chris Clark

Aug 17, 2012 at 07:09

I rather feel Corporate America's future is somewhat tied up with solving the Eurozone cash log jam. But possibly Mitt might be good for the tax bills of the business owners.

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Matthew Andrews

Aug 17, 2012 at 09:15

Please do us the favor and the honor of writing in English not American!

The word is Saviour!

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Jo Public

Aug 17, 2012 at 09:21

They may be good for the stock market, but the stock market has to exist in a world. And I wonder what Romney & Ryan will do for world stability in what are already difficult circumstances. The stock markets may love their election, but one moment of madness over (say) Iran could cause an almighty plunge - and remember that Romney is recorded on TV describing Syria as "Iran's route to the sea".

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William Bishop

Aug 17, 2012 at 10:06

Because of the separation of powers, in most circumstances the President has very much less control over domestic policy than he does over foreign. I wouldn't get too excited.

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Graham D-C

Aug 18, 2012 at 10:32

The last Republican president Americans voted into office was the dumbest of my not inconsiderable lifespan todate, a man who did not know that the population in Iraq was religiously divided largely between Sunni and Shia muslims. His election coincided with our own fateful election of Blair -America's greatest foreign sychophant ever. The combination of this union led to the UK entering two wars that were none of its business and destined to be lost before they even began. If Americans want to repeat the folly of electing another Republican who might be a litle smarter than G W Bush, then so be it; however if they have had enough after two lost wars, then common sense will prevail with Obama being re-elected.

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gwil

Aug 18, 2012 at 11:01

Republican propaganda.

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Keith Phillips

Aug 18, 2012 at 17:54

One has to ask why, if Corporate America is responsible America why they are not already using their considerable cash balances to help America to grow out of recession now. Is it because if America starts to grow with a Republican they will stand to make more personal money than with a Democratic President? It is always for the greater good of self and to hell with the rest.

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Jeremy Bosk

Aug 18, 2012 at 20:36

Romney is an evil lunatic who will order his British janissaries into more useless wars.

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