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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region Forums''ITS A PONZI SCHEME": Wall Street Fears Trump's Deranged Tax Plan...Economic Euthanasia
ITS A PONZI SCHEME: Wall Street Fears Trump's Deranged Tax Plan Could Kick Off Economic EuthanasiaWall Street vets say an attack on blue states could start a chain reaction in the housing market. Will this be the first tax cut in American history that actually results in a recession?
BY WILLIAM D. COHAN NOVEMBER 17, 2017 6:20 PM
Its a Ponzi scheme, a Wall Street executive told me, dismissing the idea that a multi-trillion dollar tax cut for multinational corporations would trickle down throughout the economy and also pay for itself. Its a view thats widely shared among the bankers, hedge-fund managers, traders, and quants whose job it is to determine, with Vulcan accuracy, how the Republican tax bill that passed the House yesterday will actually affect the markets.
Its also more than a little ironic, given that the plan was spearheaded by two former senior partners of Goldman Sachs turned Trump shillsGary Cohn and Steve Mnuchina pedigree that has done little to reassure Wall Street veterans who worry that the White House may accidentally nuke the economy in the name of tax reform. Will this be the first tax cut in American history that actually results in a recession? the executive asked.
Its a great question. And the House plan provides plenty to be worried about in that regard. Take, for instance, the proposed elimination of the deductibility of state and local taxes. That is obviously a cynical, politically motivated ploy on Donald Trumps part to penalize voters who didnt vote for him (for good reason) in high-tax blue states, such as New York and California, and to give a benefit to the red-state voters who did vote for him. (I get it, elections have consequences.) Eliminating the deductibility of state and local taxes is an incredibly divisive plan. Its a transfer to red-state wealthy guys, said the executive, who lives in a blue state.
Worse, he says, it could lead to another housing crisis, just as the last one is (or should be) still fresh in our collective memories.
https://www.vanityfair.com/news/2017/11/wall-street-fears-trumps-deranged-tax-plan-could-kick-off-economic-euthanasia
Irish_Dem
(47,133 posts)Wonderful.
workinclasszero
(28,270 posts)Whenever the republicans control the government, they destroy the economy for the benefit of their 1% backers.
Just like Bush, here it comes again deplorable America and you fucking fools VOTED FOR IT!
Irish_Dem
(47,133 posts)So the Repugs can come in and steal it all over again.
An endless cycle.
workinclasszero
(28,270 posts)like President Obama for not bringing it back fast enough!
Which hate radio and fox news push 24/7 so out of work coal miners and others think a rich con man POS is their friend and is going to help them achieve middle class pay and bennies that only came with strong liberal unions and governments.
I am so sick of seeing working class people fall for this shit, over and over and over.
Irish_Dem
(47,133 posts)And the people buy it and the stupid made up wedge issues.
But in all fairness, the GOP has stolen many elections outright via vote hacking, gerrymandering and voter suppression. And manipulated US citizens via relentless, intense propaganda.
workinclasszero
(28,270 posts)The kicker that puts a lot of these people over the edge, voting to cut their own throat is tribalism/racism.
The republicans/fox/hate radio/koch bros/Mercers/tRump know this and use it constantly.
Irish_Dem
(47,133 posts)Will humans ever evolve?
workinclasszero
(28,270 posts)Last edited Sat Nov 18, 2017, 01:19 PM - Edit history (1)
But will enough before its too late?
The US is stonewalling climate regulation even as we speak.
We live with finite resources on one planet and a economic system that demands more and more and more.
We are at the breaking point while our idiot government is destroying environmental laws and pushing climate killing coal.
Irish_Dem
(47,133 posts)I wonder how many times this has played out.
Humans populate the planet, then destroy the planet and themselves.
Mother Earth will recover.
There are more than enough resources on this planet for all inhabitants to live comfortably.
And to live in harmony with the planet.
Greed, corruption prevent this from happening and will be our downfall.
And maybe that is OK.
Maybe humans don't deserve a spot in the universe.
workinclasszero
(28,270 posts)We may destroy the habitat we need to survive but the species that outlast humanity will prosper in the long run.
To bad humanity is so easily lead to its extinction for the sake of a few dollars more in some billionaires pocket.
It brings this to my mind.
To the last syllable of recorded time,
And all our yesterdays have lighted fools
The way to dusty death. Out, out, brief candle!
Lifes but a walking shadow, a poor player
That struts and frets his hour upon the stage
And then is heard no more.
It is a tale Told by an idiot, full of sound and fury,
Signifying nothing.
Macbeth William Shakespeare
Irish_Dem
(47,133 posts)We will just become a plant of Ferenghis.
Yes the Shakespeare quote nails it perfectly.
I think the billionaires are money addicted. No amount of money is enough.
But they certainly have enough money to go off planet when they trash Earth.
That is why NASA is given money to go to Mars and terraform.
The billionaire hidy hole.
workinclasszero
(28,270 posts)The 1% will strip this planet and its inhabitants naked. Throw us on the junk heap and escape the hell they created on some other pristine planet.
I don't think they will like living in a hole in the ground on Mars near as much as Mother Earth though.
Irish_Dem
(47,133 posts)And we know for a fact that there are currently underground bunkers here in the US.
For the elite when needed.
This is the only possible explanation for the fact the elite could care less if they trash the planet.
They already have their escape plan in place.
I know it sounds wild, but only reason they do not care about the planet or its inhabitants.
They don't plan on being her for the long haul.
LiberalArkie
(15,719 posts)ProfessorGAC
(65,076 posts)"Will this be the first tax cut in American history that actually results in a recession? the executive asked.
WTF does that idiot think happened in 1990 and 2006?
The answer is no, it won't be the first, but it could be the worst!
workinclasszero
(28,270 posts)I think the wall street pirates are afraid Commander Bone Spurs is going to ruin their game this time.
ProfessorGAC
(65,076 posts)DJIA took a dump both times
The guy quoted is just a moron!
workinclasszero
(28,270 posts)If your name is not Koch or Mercer.
The whole fuckin party only exists to lick their balls on a daily basis!
Sorry for the bad language.
ProfessorGAC
(65,076 posts)And no need to apologize for language! FUCK THEM!
groundloop
(11,519 posts)These bastards have ruined the economy multiple times already through their ponzi scheme, and they're trying to convince us that doing the exact damned same thing will somehow magically yield different results this time around.
ProfessorGAC
(65,076 posts)And he's right! But, is this the first time? He's an idiot!
BumRushDaShow
(129,119 posts)Where the hell were they when that happened?
miyazaki
(2,244 posts)that cost the lives and dreams of untold millions.
ProfessorGAC
(65,076 posts)... the real problem is that a moron like this failed up to being a Wall Street Executive! He's an executive officer and he's this stupid?!?!?!?!
I'm a multimillionaire and I never fucked with anyone.
But I ain't a moron! This guy is!
miyazaki
(2,244 posts)dalton99a
(81,520 posts)workinclasszero
(28,270 posts)ProfessorGAC
(65,076 posts)This moron is not the enemy!!!
He's just another fuck who failed up, but he's not the issue!
Neither is Wall Street!
This guy is anti-Trump and he's right!
Identity the real enemy!
This guy isn't the enemy!
He's an unaware ally!
Hekate
(90,714 posts)pangaia
(24,324 posts)Quoth William Cohen, financial genius.
WHAT ?????????????
I repeat............
WHAT ?????????
blueinredohio
(6,797 posts)Kirk Lover
(3,608 posts)yes I'm a constituent and yes I'm a Republican ...and as a Republican I don't like where my party is headed and I don't like this tax bill that is for the rich and wealthy corporations.
Angry Dragon
(36,693 posts)Kirk Lover
(3,608 posts)But thanks for the welcome!!
Angry Dragon
(36,693 posts)were enjoying your time here and finding your way around okay
Angry Dragon
(36,693 posts)Hekate
(90,714 posts)Those would be the one calling it a Ponzi Scheme.
Other rural analogies have to do with shearing sheep (yes, us) but keeping them healthy; or milking cows, but keeping them healthy.
louis-t
(23,295 posts)Not if, when. "We didn't do it soon enough to prevent the Obama recession from hitting because Dems stopped us."
workinclasszero
(28,270 posts)I see you are familiar with fox/radio/republican RICO ways.
F**king bastards!