Posts Tagged ‘bailout’

Money Tunnel

Flickr photo by Keith Ramsey

It’s bonus season on Wall Street. The big banks and firms that crashed our economy are doling out millions to high-rolling CEOs, stock traders and hedge fund managers.

What are they doing to make so much money? Absurdly, they’re using the same high-risk financial gimmicks that crashed our economy back in 2008. The payouts have no link to creating real value or a sound economy in the long term.

So we’ve started a campaign calling on Wall Street to stop rewarding itself for making more trouble with our economy.

More than 9,000 activists have already signed the petition demanding Wall Street end its outrageous pay practices. Sign at www.citizen.org/wall-street-pay-petition.

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Today’s Flickr photo

Scroll with signatures collected by the Monahan brothers who walked across the country to protest the Citizens United ruling. Flickr photo by M.V. Jantzen

If you read one thing today . . .

It’s pretty clear that Tea Party matriarch Sarah Palin  is no lover of Big Government or big bailouts. Except, she was for the bailouts before she was against them. David Corn in Mother Jones has an interesting look at the old Sarah’s defense of bailouts and the new Sarah’s displeasure.

Palin went further this summer, when she contended that Alaska Sen. Lisa Murkowski’s support for the bailout was grounds for voting against her. Palin was backing Joe Miller in the GOP primary against Murkowski. In an endorsement message for Miller posted on her Facebook page in August, Palin, bashing Murkowski as a faux Republican, declared,

Alaska deserves a senator who will not talk one way in the Last Frontier and then vote the opposite way in the Beltway. It’s time for Alaskans who are concerned about endless bailouts, ever increasing debt and deficits, and the government take-over of health care (all planks Lisa Murkowski has walked) to get behind Joe Miller.

Palin added, “We know Joe won’t support more bailouts, but we know Lisa already has.”

In less than two years, Palin had gone from endorsing the bailout to using it as ammo to slam a fellow Republican who had also supported TARP.

Overheard

That nervous rattling you hear is coming from the U.S. Capitol where those up for election in 2012 who must feel like they have targets painted on their chest after watching so many incumbents and party favorites bite the dust during the midterm primaries and general election. Call it the Tea Party effect. Politico’s Manu Raju writes that several veteran Republicans and Democrats are worried. Missouri Democrat Claire McCaskill, who faces the prospect of running in a solid red state, is stressing her independence:

“I don’t think you have to be disloyal to President [Barack] Obama, to be independent,” said McCaskill, who is facing reelection in a state that Obama lost in 2008. “And I think that’s the message that I got to make sure that Missourians understand: that I haven’t been afraid to differ from Harry Reid; I have not been afraid to take on Nancy Pelosi; I have not been afraid to tell the president he is wrong. And that I have been the independent that I think most Missourians want.”

On Alternet, filmmaker Michael Moore figures if General Motors is posting profits, layoffs can’t be far off. But seriously, why isn’t GM and the rest of corporate America hiring? When will Main Street start seeing the windfall from the government bailout of Wall Street?

The government stepped in with trillions of dollars in cash and guarantees to keep Corporate America from collapsing due to its own stupidity, short-sightedness and greed. And it worked—for Corporate America. You may not have noticed as you were being foreclosed on, but the profitability of the Fortune 500 is almost back to normal

The Senate resumes debate today on the Wall Street reform bill, having late last Thursday rejected probably the most important measure proposed to reduce Wall Street power, strengthen financial stability and fortify our democracy: breaking up the banks.

By a 33-61 vote, the Senate defeated the Brown-Kaufman amendment, which would have forced the largest banks to get smaller. Three Republicans, including Richard Shelby, the ranking member of the Banking Committee, joined 30 Democrats in supporting the measure.

This was a very big deal loss. But things aren’t over by any means.

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[vimeo 11065913]

Last week, Public Citizen and several of its coalition partners held a news conference  in support of a tax on financial speculation. The tax is a very small levy on financial short-term transactions, which will curb excessive speculation by big banks, but with a minimal impact on long-term investors. The tax could raise more than $100 billion year for the U.S. Treasury. You can see the entire news conference in the videos above and below. Or you can visit our YouTube page to see clips of the individual speakers. 

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