hanlan noted. if you look specifically at the financial statement earnings and book earnings i found that in terms of my discussions with a number of corporate executives but there's a number of corporations that do the type of project evaluation, looking at the cash flow benefits. i guess i would say that at the current time for companies that have access to capital markets, interest rates are at a historic low and to the extent that accelerated depreciation is really a zero interest rate loan from the federal government, the benefits of accelerated depreciation at the current time are modest for those that have access to capital. >> thank you. mrs. hanlan, finally, you mentioned in your testimony the important point that some of the analysis that we've been talking about today doesn't really apply to closely-held businesses. could you just explain how closely-held businesses might analyze tax reform differently than publicly-held companies? >> yes. there's a long line of literature and accounting

hanlan hesitating. >> i'm not hesitating. i'm just -- >> just say yes. >> it certainly wouldn't hurt job creation, that's for sure. >> okay. t the second question. since 95% of the world's population and 70% of the purchasing power today is outside the united states, it goes without saying that global marks are a critical component of the future growth and success of the united states businesses. how does the success of u.s. global businesses impact jobs in the united states? >> i think we're a great example of that. also in my written testimony, i included some statistics about our growth since 1989 when we first got into the international -- started growing our and our u.s. team member camp, for example, has grown from 56,000 members to 290,000 members today. it's symbiotic of global growth and u.s. growth. have increased in tandem, as our globaltwande've seen that with customers as well. as you pointed out, 75% of the world's purchasing power is outside the united states today. that's a huge market. and it's increasing. an

hanlan noted focus not only on cash tax liabilities but on their reported financial statement effective tax rates and reported book earnings. temporary book tax differences like accelerated depreciation and many other provisions do not affect the total financial statement effective tax rate, which is based on the total accrued tax expense both current and deferred. a lower corporate tax rate and accelerated depreciation both reduce the economic effective tax rate on tangible business capital investments. but a lower corporate tax rate also reduces many other tax ddi extortion. bias toward corporate debt and taxable income shifting across tax jurisdictions. the lock-in effect on corporate capital gain realizations. lockout effect on foreign dividend repatriations and reduces the tax on corporate entrepreneurship and innovation. they emphasize the necessity of combining permanent expensing with repeal of interest deductibility in order to prevent negative effective tax rates. in 1982, congress peeled back accelerated depreciation as part of their deficit reduction efforts, coup to what we

michael o apz hanlan is with the brookings institution. you said what happened with the investigators at the u.n. is a step back, but there is still a path forward. why? >> i'm not sure there is a path forward but there are possibilities. the set back here of course is that iran has been sort of half playing by the rules, half not. it let's inspectors come in enough to make sure that they are not directly building a bomb right now, even though we all realize they are making baby steps towards that bomb, and this helps iran try to convince other countries not to tighten sanctions. the stantions are getting tight end any way. iran is thinking of changing its tactics. i still think it is willing -- hasn't kicked the inspectors out, hasn't refused the teams entry into the country. it's playing a halfway game and doing enough minimal compliance that it prevents countries like china from really tightening the screws. it's seeing if it can pull that out. meanwhile we don't even know as the sanctions do intensify if iran would consider a compromis