From all reports, the bankster bailout while ignoring the needs of main street is a major success. This is how the banksters say thank you.
2009 closed with the stock market rebounding 61 percent from its March lows, and “Wall Street is ready to pat itself on the back for its huge gains with big bonuses,” potentially surpassing the record payouts of 2007. Analysts estimate that Wall Street’s 2009 bonus pool could total $200 billion — led by Goldman Sachs’ $23 billion — as the New York Times reported today, the return to big bonuses will also allow Wall Street banks to claim billions in tax breaks:
Many American banks already pay minuscule federal income taxes, because of various deductions and clever tax planning; the payout-related breaks will reduce their tax bills further in coming years…Altogether, the top three Wall Street banks — Goldman Sachs, JPMorgan Chase and Morgan Stanley — will gain nearly $20 billion in tax breaks based on their employee compensation this year.
Compensation related tax deductions will total about $80 billion across Wall Street, according to New York City tax analyst Robert Willens. In 2008, Goldman Sachs paid an effective tax rate of just 1 percent thanks to a variety of deductions and keeping profits offshore. [emphasis original]
Inserted from <Think Progress>
That’s $20 billion that’s needed to feed hungry people, provide health care, create jobs, rebuild our crumbling infrastructure and bring our educational facilities into the 21st century. The Banksters are rubbing our noses in the bull’s ass. Are you mad enough to take action yet? When Congress reconvenes, each one of us need to become hounds from hell plaguing them daily with our demands.
30 comments:
Looks like the bulls balls have gotten shiny from all the bankers rubbing them.
Yes I am up for a good fight and I will do it through action and austerity of economics.
here's your link on how goldman evades taxes; click the image to enlarge...
goldman's bonuses alone could have forestalled all the foreclosures that have occurred this year; for the bankers largess, however, we can thank larry summers, timmy geithner, and ben bernanke, who continue to believe in the same old trickle down economics popularized by reagan...
its so fracken' shameful. I'm with Arianna Huffington... move to simple, small, hometown thrift / savings bank. This is just too shameful.
Wall Street is made up of nothing but parasites who extort money from millions of naive, hard-working, exploited Americans, who, UNlike Wall Street, are actually PRODUCTIVE. Wall Street is in need of heavy, HEAVY supervision and regulation, because as it stands at the moment, it is a legalized Ponzi scheme.
this article has too many embedded links to quote from, so you'll have to click it...Will Americans Reclaim Our Nation in 2010 From the Thugs and Con Artists?
Keep in mind also that their 'bonuses' are taxed at the cheaper capital gains rates (about 20%) rather than regular income rates. You can thank GWB and the Repubs for that one too.
If my bonus is taxed at regular income rates, theirs should be too.
... and the continuing blackmail con game just keeps on going and going and going ...
Ditto, Mark.
Thanks for the links, RJ and Mentarch.
Gwen, an excellent idea.
Amen, Jack.
Lisa, actually those bonuses are regular income. The bulk of their earnings, however are taken as capital gains.
I believe we've just gone from one bank-friendly regime to another.
Interesting link from rjs to the Cayman islands.
Too bad the Right is more concerned with ACORN and Van Jones. They are able to whip up populist rage but then direct it thru ideology. Maybe the proper term isn't ideology but idiocy.
Oso, it certainly appears that way. Economics is not Obama's strong suit, like most Presidents. I still think Rahm and the Clintonista advisers used fear of a collapsing economy to lead him down the primrose path. The right caused this mess, so their 'solutions' are just more mess.
Obama has somehow achieved the economic recovery miracle.
But as professional negotiator, he can't change the culture of the moguls, which is f*ck you, average man or woman. Them that's got is them that keeps quiet...Even if one has once been on corporate welfare!
TC; RE; "Economics is not Obama's strong suit, like most Presidents." Ok, is foreign policy his strong point? NO ! ! ! Is Health Care his strong point? NO !!!!
Then what exactly is his strong point?
Reality has set in. I'm more than happy to join in the chorus ripping Congress for allowing these bankers to rape us and their industry. but the sad fact is, out of that 200 billion, a bit of it will go to politicos to keep them on the bankers side.
Government has a price only the wealthy can afford.
The right caused this mess and Obama is following FDR and Carter models to fix it or should I say to extend it.
By the way Sue deletes my comments when it's too painful to face.
I also read rjs' link on Goldman. It's disgusting what these firms get away with, compliments of our Congress and President.
Here is the great thing about this, the crisis isn't over yet.
Wall Street is banking whatever it can now. It knows that over the next few years Uncle Sam is not going to be able to be Uncle Moneybags anymore.
The populist candidates will start coming out of the woodwork here shortly, and it won't be pretty. For either party, and least of all for the US. The populists will think that giving everyone some money will make all the difference. They will be wrong. The correct answer at this point is tighten up, whatever fails, fails. Whatever lives, lives. However, a populist does not think in these terms. They will try and give us a break and make things worse in the end.
SECONDLY, they can't make any more money on mortgages. It just isn't there. They are not writing any new loans, and Hell be damned if they refinance the ones that they already have. As a result, unless they can push the stock market up another 40% this year (which will be beyond monumental) there isn't any more money to be made.
They are making hay while the sun is shining. GS is already starting to short (as evident from earlier criticisms this year that they are advising larger clients to be prepared for worst, but telling everyone else things are rosy [citation needed]) I am sure that JPM, MS, BAC, and even C (Sorry, I talk in stock symbols) have already started the play to the downside, hedge to the up in their portfolios as well.
P.S. I am attempting to urge Quincy out of getting into government and start a large bank that is actually a bank.
I think that there is more than enough room on the board of directors of said bank for Oso's cat.
-Lisa G.'s Hubby.
Otis,
Thank you for the synopsis,you and your wife are one heckuva smart team.
I hope she didn't yell at you in the mom voice to post this!
I'm sure my cat Dulce would be amenable to joining a board of directors assuming there's something in it for her.An attitude which would endear her to fellow bankers.
Oso,
Lisa loves you almost as much as me, but sometimes more. Both because I am her husband and screw pooch every now and then and you are 2000 miles away. :)
I think that Dulce would fit right into the banking world. She is self-important and a real pain when she doesn't get her way. Much like Quincy and much like your average banking CEO. I, personally, would like to see scratch marks across the faces of Blankfein, Dimon, Lewis, and Pandit. She is so in. Maybe COB and Quincy can do CEO stuff.
Otis,
Ok now that I've stopped laughing and can type again..
Maybe I'm analogous to the backup QB who is the most popular player on the team as long as he's sitting on the bench ?
Lisa is great, I envy you !
BTW the book I ordered for Dulce just arrived,Too Big to Save by Robert Pozen. I need to build up her financial knowledge so her banking career can take off and I can finally retire! Since I'll have to read it to her some of it may actually sink in to me as well.
take care man
Ivan, that's a pretty accurate estimate.
RZ, I guess his strong point does not become apparent until you consider that he is a lot better than the GOP, or would you prefer them?
Truth, you speak your name there.
Right-wing Lisa (not our Lisa G). There are four things wrong with your comment. Obama is nothing like FDR. I wish he was more like him. Obama is nothing like Carter. Carter refused to play ball with the Wall Street elite. I wish Obama would. Obama is not extending the crisis. He is mitigating it, just in the wrong way. Sue does not delete your comments because the content is too painful to face. I have been watching your comments there for several months. Sue deleted your comments because you behaved like an ideologue troll. You parroted right wing propaganda. You refused to stay on topic. Whenever someone, sometimes me, shredded your argument with factual data, you didn't respond. You just moved on to parroting the next GOP lie. Sue was an angel of patience with you, far more so than you deserved. If you show the same level of disrespect here, your comments will suffer the same fate. If, on the other hand, you stay on topic, answer arguments rationally instead of ignoring them to post another Glen Beck diatribe, and treat those here with respect, your views are welcome here.
So did I, Lisa G.
Welcome Otis. It's nice to have a technical analyst on board. I used to play at that many years ago. If the banksters (to summarize your symbols) are shorting, we'd better duck. PS... For being married to the lovely Lisa G, and actually surviving the experience, you have my profound respect. ;-)
Otis & Oso: ROTF!!
Tom, you said it so well!! lisa is good at ignoring my pleas for her to move on, so I will continue deleting when she insists on reciting Beck!
Thanks Tom!
TC; so you are saying that his strong point is that he is better than Mc cain would have been? That is his strong point ???????. The lesser of two evils is not good enough. He must be held accountable. Will you condone another attack on a new country?
You're welcome, Sue. I have no respect for people who talk about bloggers behind their back on another blog.
RZ, I'm saying that he is governing like the centrist that he is and that I knew he was when I voted for him. What choice did we have last election? It was him or the GOP. Frankly there are dozens ot thinks he has done right. See the list Mad Mike posted. I would not support an attack on a new country, but only the Republicans are proposing that at the moment. On the whole, he inherited a chaotic mess at every level of our culture and is sorting it out reasonably more often than not. For what must he be held accountable?
Obama is not even a centrist. He is Right OF Center. He has backed the Corps on every turn. ---Health Care, Banksaters, MIC. Gitmo will not be closed this year, and possibly not even next year. He is not going after the criminals of the W/Cheney cabal.
If we go into Yemen, or Somalia, will that also be acceptable to the supposed [left]?
On Health care, he left it to Congress. On Banksters, you're right. He appointed Geithner and Summers. On Gitmo, he's trying to close it. Only the Republicans are suggesting the last two. Are you blaming him for what he hasn't done? May I suggest that you are so dead set against him that your mind is not open on the subject. To repeat my onging question to you, what positive solutions do you suggest?
He should stop playing political ping-pong. Unless he improves the economy with in 2 years, he will be a one term President.
BANKS----Should have been Nationalized right out of the gate.
Iraq----Immediate PULL OUT.
Afghanistan----Karzai out, Peace table [deal making] with the Taliban. Immediate exit thereafter.
Health Care----Medi-care for one and all.
Gitmo---Closed for business.
W/cheney cabal ----Investigate, and then proceed with immediate prosecutions.
LOBBYISTS----DOA.
Congresscritters---Real term limits.
Election---Tax payer funded.
Jobs----Funds injected directly into States, and counties for job creation.
Foreclosures---Lower principals.
Wall St. ---bull doze it, start all over.
Reefer----Legalize it.
War----Illegal.
RZ, while those are great ideas, I meant the question differently from the way you understood it. What I should have asked is: What positive action do you suggest that we as progressives undertake to improve the situation.
The first thing that the "progressives have to do is admit to their own denial. They have to admit that there are not that many progressives in the Democratic party. Some if not most are that in name only. Progressives have to hold their presidents feet to the fire. Not keep repeating the same "he is better than Mc Cain." They must come out and crush the naysayers. What ever happened to 51 votes in the Senate? They should shun, punish, and purge traitors with in their own party. Transparency is a must. All this B.S. about compromise. Most evils start with compromises. Tell the people the truth. No more lip service, or lip stick on pigs. Dems are just as guilty as the rethugs when it comes to pork, bribes, lobby donations. This must stop. Talk the talk, then walk the walk. Stop donating to and promoting Dems that are not progressive. Organize locally to get rid of all Dinos. Blue Dogs. These shills are not Dems.
RZ, I don't see myself as being in denial, and I place a high value on telling people the truth. How many time have you seen me post action alerts against LIEberman and the blue dogs. If you haven't seen me blistering Dems for the very things you mention, you haven't been paying attention. It turns out that my local Dems have a strong progressive track record, but I have spoken out strongly against those who do not elsewhere.
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