Illustration by Victor Juhasz
Whew! Everyone has just breathed that big sigh of relief that their taxes are done and they don’t have to think about them for another year. However, we should all be thinking about where our tax monies are going instead of focusing on the two parties that would have us believe that we must slash and burn “entitlement” programs in order to contain this unyielding budget deficit. I, for one, don’t complain a lot about my taxes and I pay plenty in terms of percent of my income. I am single with no dependents and I no longer run a business that might help for write off reasons. This puts me in that tax space of hell that most single people understand. When I add up all the money I pay for federal, state, Medicare, Medicaid, Social Security, property taxes and sales tax I could be screaming about the taxes I pay. However, I don’t because I know that we need roads, public education, colleges, hospitals, airports, police, defense and many other things to make our society run. I know I pay my fair share of the tax burden. I don’t need any more and I know that many corporations pay nothing. I also know that many wealthy people don’t share my percent of the burden. I’ve been saying that we need to change the tax code so those at the top can do more for our country. They have more, so they should do more. After all they use more of these government resources than you or I will ever use. They use the airports all the time to fly wherever they want to be in the world.
However, what I want to share with you today is how the rich have access to the government in a way that you and I will never have. They take advantage of programs. They even get programs written for them so they can dip into the honey pot of our tax payer monies. Many of us that are old enough, remember John Wayne being paid not to farm. Yeah, that’s funny. That’s small potatoes compared to what I recently read in this Rolling Stone article. http://readersupportednews.org/off-site-opinion-section/72-72/5564-americas-shadow-budget
The Federal Reserve appears to be at the beck and call of the wealthy superstars. Even though those wealthy bankers were basically crooks and liars and never had to pay for their shenanigans, we keep forking it over to them and now even, their WIVES! This is important to read. It’s from the link within the article about, “Why isn’t Wall Street in Jail?”
Not a single executive who ran the companies that cooked up and cashed in on the phony financial boom — an industrywide scam that involved the mass sale of mismarked, fraudulent mortgage-backed securities — has ever been convicted. Their names by now are familiar to even the most casual Middle American news consumer: companies like AIG, Goldman Sachs, Lehman Brothers, JP Morgan Chase, Bank of America and Morgan Stanley. Most of these firms were directly involved in elaborate fraud and theft. Lehman Brothers hid billions in loans from its investors. Bank of America lied about billions in bonuses. Goldman Sachs failed to tell clients how it put together the born-to-lose toxic mortgage deals it was selling. What’s more, many of these companies had corporate chieftains whose actions cost investors billions — from AIG derivatives chief Joe Cassano, who assured investors they would not lose even “one dollar” just months before his unit imploded, to the $263 million in compensation that former Lehman chief Dick “The Gorilla” Fuld conveniently failed to disclose. Yet not one of them has faced time behind bars.
So, we know these guys are crooked and the government knows it too, so what does the Federal Reserve do? Our government has a “Shadow Budget”. There is a budget that we see and then there is another one that the Federal Reserve creates. You must watch this video because it is eye opening.
The Fed books have been opened up and now we are finding out about these secret transactions. This was brought about by bi-partisan support as the video has stated. Here is just a snippet from the article:
The Fed sent billions in bailout aid to banks in places like Mexico, Bahrain and Bavaria, billions more to a spate of Japanese car companies, more than $2 trillion in loans each to Citigroup and Morgan Stanley, and billions more to a string of lesser millionaires and billionaires with Cayman Islands addresses. “Our jaws are literally dropping as we’re reading this,” says Warren Gunnels, an aide to Sen. Bernie Sanders of Vermont. “Every one of these transactions is outrageous.”
Here is more:
But if you want to get a true sense of what the “shadow budget” is all about, all you have to do is look closely at the taxpayer money handed over to a single company that goes by a seemingly innocuous name: Waterfall TALF Opportunity. At first glance, Waterfall’s haul doesn’t seem all that huge — just nine loans totaling some $220 million, made through a Fed bailout program. That doesn’t seem like a whole lot, considering that Goldman Sachs alone received roughly $800 billion in loans from the Fed. But upon closer inspection, Waterfall TALF Opportunity boasts a couple of interesting names among its chief investors: Christy Mack and Susan Karches.
Christy is the wife of John Mack, the chairman of Morgan Stanley. Susan is the widow of Peter Karches, a close friend of the Macks who served as president of Morgan Stanley’s investment-banking division. Neither woman appears to have any serious history in business, apart from a few philanthropic experiences. Yet the Federal Reserve handed them both low-interest loans of nearly a quarter of a billion dollars through a complicated bailout program that virtually guaranteed them millions in risk-free income.
Obviously, I encourage you to read the whole article. I also think we have to press congress to stop this outrageous transfer of money to the wealthy Wall Street fat cats. It’s Robin Hood in reverse. We all pay our taxes. We aren’t crazy about paying them, but we know that we have to pay something to keep society going. I have no desire to pay for the fat cats on Wall Street so they can keep their cushy lifestyles. It’s time we all woke up and really learned more about how our government is being run. Right now we keep getting brain washed into accepting what must happen to those “terrible entitlement” programs because they are truly the problem. We are also being told about all those “terrible teachers” and of course now those sleepy, good for nothing, air traffic controllers as well. This is all smoke and mirrors, so they can privatize everything. It will just give those fat cats on Wall Street one more thing to control. I ask everyone that reads my blog to just pass this on and think about who the enemy really is. It isn’t the teachers and it isn’t air traffic controllers that are asked to work all night by themselves without so much as a potty break. It’s okay for our Vice President to fall asleep because he isn’t bringing in planes but truthfully, who is really at fault for putting these planes at risk? I can’t help but wondering why we are hearing about the air traffic controllers right now anyway. Is there some new reason they’re falling asleep or is there something else in the works? http://www.downsizinggovernment.org/privatization
The next time you hear Rep. Paul Ryan blowing smoke your way, think about the real problems in government and where you tax dollars are being spent. Here is a quick link for Rep. Ryan from Open Secrets. http://www.opensecrets.org/politicians/summary.php?cid=N00004357&cycle=2010
Isn’t it nice to know that he rakes in so much money from insurance and health professionals? Of course they will clearly make more money under his big proposal to privatize Medicare and Medicaid? http://articles.latimes.com/2011/apr/07/nation/la-na-gop-budget-20110408
Now, that I’ve spoiled your Easter with all my happy talk on my blog, have a happy Easter!