The State of the Union address of President Obama last Tuesday night covered several policy issues which included gun control as well as tax reform
Here is a list of the five main issues the presidential address raised which can largely impact the economy of Silicon Valley
Tech companies in Silicon Valley are in a talent war which merge with the countrywide lack of qualified graduates in the fields of math, engineering, technology and science. Obama asked for shortened visa waiting times in his speech Tuesday and actually prodded foreign engineers and entrepreneurs to go the United States.
Obama highlighted Apple’s 100 million dollar plan to make a manufacturing plant in the US. The company hasn’t announced where manufacturing will be done, but the president asked for more domestic innovation centers that are federally-funded. He also discussed incentives that would encourage companies to come back to the United States.
Due to voter demand, minimum wage in San Jose will bump up to 10 dollars per hour from 8 dollars this March. Other parts of the region can likewise see a raise of wages if the president holds through on a promise he made to increase minimum wage to 9 dollars per hour.
The president asked for new revenue measures to lessen federal deficit. He said that the country should do away with tax deductions and loopholes for the well-connected and well-off. This would add to capital gains and high-income tax increases following the fiscal cliff deal in the New Year and last year’s Proposition state income tax increase of California.
Tuesday’s speech tackled climate change as well as the need for more renewable energy sources. The cleantech sector of Silicon Valley can benefit from a bump in federal subsidies with regard to this endeavor. This also matches the freshly announced plan of Joint Venture Silicon Valley to help Yahoo, Google as well as other companies proximate to Moffeet Field in the construction of a smart grid.