Friday, April 12, 2019

US Wealth Disparity

General Motors’ receipt of


Some of this corporate welfare has gone into the pockets of GM executives. Chairman and CEO Mary Barra raked in almost $22 million in total compensation in 2017 alone


But GM employees are subject to harsh capitalism. GM is planning to lay off more than 14,000 workers and close three assembly plants and two component factories in North America by the end of 2019.


The nation’s largest banks saved $21 billion last year thanks to Trump’s tax cuts, some of which went into massive bonuses for bank executives. On the other hand, thousands of lower-level bank employees got a big dose of harsh capitalism. They lost their job

Banks that are too big to fail—courtesy of the 2008 bank bailout—enjoy a hidden subsidy of some $83 billion a year because they have the backing of the federal government. In 2017, Wall Street’s bonus pool was $31.4 billion. So, take away the hidden subsidy, and that bonus pool disappears, along with most profits. Trump and his appointees at the Federal Reserve are easing bank requirements put in place after the bailout. But they will make sure the biggest banks remain too big to fail.

Equifax’s Richard Smith retired in 2017 with an $18 million pension in the wake of a security breach that exposed the personal information of 145 million customers to hackers.


Many of today’s super-rich have never done a day’s work in their lives. Around 60 percent of America’s wealth is now inheritedTrump’s response has been to expand this divide by cutting the estate tax to apply only to estates valued at over $22 million per couple. Mitch McConnell is now proposing that the estate tax be repealed altogether.

From here



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