SABMiller denies any tax abuses. It says in 2010 it paid about $250 million in corporate taxes in India and sub-Saharan Africa.
ActionAid also accuses Associated British Foods of using its subsidiary companies to reduce its taxes in Zambia by millions of dollars. Associated British Foods says the accusations are “incomplete at best and factually wrong in places.”
Mark Littlewood is director-general of the Institute for Economic Affairs in London. He argues that tax havens help the global economy by increasing investment.
“This idea that sort of Western companies that are tax efficient are exploiting these places rather than bringing inward investment to them, I think, is a rather neo-imperialist old-style way of looking at the world. We want more of that inward investment -- that creates jobs and creates growth in some of the poorest countries in the world.”
The Berlin Blockade
Finally, 65 years ago this week, Soviet occupation forces in East Germany established a land and water blockade around West Berlin. Only air traffic was permitted.
The Berlin blockade was seen as the final step by the Soviet Union in an effort to force the United States, France and England to make economic concessions concerning East Berlin. Instead, on June 26th, the United States Air Force began to fly supplies into West Berlin's Tempelhof airfield.
Using cargo aircraft as an aerial bridge, the United States flew eighty tons of food, medical supplies and coal to the isolated city every day. In mid-July, larger cargo aircraft began flying in 1,500 tons of supplies on a daily basis.
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