I have been called a “paranoid superfreak”, among other things. I love a good conspiracy theory, and firmly believe that many of the schemes most people wave off as fairytales are actually very real. I don’t think it was coincidental that during a particularly period a year or so ago I was led to some online tapes that verified much of which I had already made up my mind about.
I know that much of that stuff is either poo-pooed by people, or simply ignored. Honestly, sometimes all you can do is ignore it because it really is too much to bear. However, even if you don’t believe in Illuminatis or chemlines or the 9/11 conspiracy, there is one thing that you have to believe because it’s in the headlines every day.
We are being robbed by modern-day robber-barons who run our financial world. We see it in the payout of huge “bailouts” for companies, while the little guy falls deeper into ruin.
I read this article today. Even if you don’t buy into all of the “elitest” stuff, the fact that markets are manipulated to rise and fall to the benefit of the rich is not that hard of a concept to grasp. I am pretty hardened. I’m quite the cynic. Trust me, it’s good that I believe in God because I would have truly lost hope long ago otherwise. So it’s pretty hard to shock me, but this article did. It wasn’t the conspiracy to throw our country into socialism, it was simple statement as to a number (emphasis added by me):
And here’s the real punch line. After playing an intimate role in four historic bubble catastrophes, after helping $5 trillion in wealth disappear from the NASDAQ, after pawning off thousands of toxic mortgages on pensioners and cities, after helping to drive the price of gas up to $4 a gallon and to push 100 million people around the world into hunger, after securing tens of billions of taxpayer dollars through a series of bailouts overseen by its former CEO, what did Goldman Sachs give back to the people of the United States in 2008?
Fourteen million dollars.
That is what the firm paid in taxes in 2008, an effective tax rate of exactly one, read it, one percent. The bank paid out $10 billion in compensation and benefits that same year and made a profit of more than $2 billion - yet it paid the Treasury less than a third of what it forked over to CEO Lloyd Blankfein, who made $42.9 million last year.
It gets better as the article goes on:
How is this possible? According to Goldman’s annual report, the low taxes are due in large part to changes in the bank’s “geographic earnings mix.” In other words, the bank moved its money around so that most of its earnings took place in foreign countries with low tax rates. Thanks to our completely hosed corporate tax system, companies like Goldman can ship their revenues offshore and defer taxes on those revenues indefinitely, even while they claim deductions upfront on that same untaxed income. This is why any corporation with an at least occasionally sober accountant can usually find a way to zero out its taxes. A GAO report, in fact, found that between 1998 and 2005, roughly two-thirds of all corporations operating in the U.S. paid no taxes at all.
There’s not more you can say. The article pretty much puts the writing on the wall. Things are not going to change. The promises to stop corporate greed have already been backpedalled on. You don’t need a conspiracy theory to see that.
It’s probably a good thing that I need to get on my knees to get my jaw off the ground.