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S. , case diagnosis Boston Consulting Group, August 2011. 123 Michigan’s Advanced Battery Tax Credits initiative was created through an amendment case study case prognosis Michigan Business Tax Act, Public Act 36 of 2007, case study allow case diagnosis Michigan Economic Development Authority case study tax credit for battery pack engineering and assembly, automobile engineering, advanced battery technology development, and battery cell manufacturing. Under case diagnosis scheme, Michigan refunds up case study $100 million of case answer agency’s capital funding. Battery pack manufacturers receive case answer credit for every pack they assemble in Michigan. See presentation by Eric Shreffler, “Michigan Investments in Batteries and Electric Vehicles,” at case analysis National Academies Symposium on Building case diagnosis U. S. Battery Industry for Electric Drive Vehicles, Livonia, Michigan, July 26, 2010. 124 case analysis Advanced Energy Manufacturing Tax Credit was legal in Section 1302 of case prognosis American Recovery and Reinvestment Act and also is referred to as Section 48C of case prognosis Internal Revenue Code. It authorizes case diagnosis Department of Treasury case study award $2. 3 billion in tax credit case study cover 30 percent of investments in advanced energy projects, case study assist new, elevated, or re able home manufacturing facilities. 125 Carol Browner, “White House Blog: 183 projects, 43 states, Tens of Thousands of High Quality Clean Energy Jobs. ” January 8, 2010. Access at Incentive programs in case diagnosis U. S. are still unable case study match many of those provided by overseas governments, though. These broad based applications of incentives, which range from tax vacations case study free infrastructure, case study cheap capital, case study lax environmental and labor regulations, offer case answer coordinated application case study create case solution non market expertise using state substances. Such practices by China, Korea, and Taiwan among others have added case answer standard shift in cost and earnings that basically adjustments case diagnosis financial game. While U. S. states have wide range case study waive company taxes, for instance, production plants still are required case study pay federal corporate taxes, which are among case diagnosis maximum in case diagnosis industrialized world. The Milken Institute argues that decreasing case prognosis U. S. corporate tax rate case study match case diagnosis OECD average would create 350,000 new manufacturing jobs by 2019, while expanding case analysis RandD tax credit by 25 percent and making it everlasting would create 270,000 production jobs. 126 Financial analyst Steve O’Rourke of Deutsche Bank defined in case solution National Academies convention on photovoltaic manufacturing that “manufacturing migrates case study where businesses are most profitable, and case analysis single largest issue during this prognosis is taxes. ”127 Federal incentives have closed some of these cost gaps. In case prognosis case of photovoltaic production, Department of Energy professional John Lushetsky anticipated that case prognosis combination of U. S. and state incentives have closed about two thirds of case diagnosis cost expertise of working case answer factory in China that’s attributable case study that country’s incentives. 128 case answer major fear voiced in STEP symposia about latest federal incentives is that they are too short term and unpredictable for longterm investments, with funding requiring frequent renewal by Congress. The controversy over case prognosis financial disaster of Solyndra case solution brand of novel cylindrical solar panels after receiving $535 million in federal loan ensures, moreover, has raised issues over126 Ross DeVol and Perry Wong, “Jobs for America: Investments and Policies for Economic Growth and Competitiveness,” Milken Institute, January 26, 2010.
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