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View Full Version : Are bank profits are taxpayer funded?



U-Ute
02-21-2013, 11:31 AM
This article (http://www.bloomberg.com/news/2013-02-20/why-should-taxpayers-give-big-banks-83-billion-a-year-.html) seem to make that case.


The top five banks -- JPMorgan, Bank of America Corp., Citigroup Inc., Wells Fargo & Co. and Goldman Sachs Group Inc. - - account for $64 billion of the total subsidy, an amount roughly equal to their typical annual profits (see tables for data on individual banks). In other words, the banks occupying the commanding heights of the U.S. financial industry -- with almost $9 trillion in assets, more than half the size of the U.S. economy (http://topics.bloomberg.com/u.s.-economy/) -- would just about break even in the absence of corporate welfare. In large part, the profits they report are essentially transfers from taxpayers to their shareholders.

Rocker Ute
02-21-2013, 11:36 AM
My contempt for big banks can not be overstated.

UBlender
02-21-2013, 11:45 AM
I worked for one of the bigger banks for a while. I could write a treatise on the subject but I don't have the time. I left it for a smaller, localized institution--many saw this as a downgrade despite the fact that I took a better title and increase in pay. I think the big banks are broken.

SavaUte
02-21-2013, 11:50 AM
I worked for one of the bigger banks for a while. I could write a treatise on the subject but I don't have the time. I left it for a smaller, localized institution--many saw this as a downgrade despite the fact that I took a better title and increase in pay. I think the big banks are broken.


I for one am awaiting said treatise

NorthwestUteFan
02-21-2013, 01:06 PM
I worked for one of the bigger banks for a while. I could write a treatise on the subject but I don't have the time. I left it for a smaller, localized institution--many saw this as a downgrade despite the fact that I took a better title and increase in pay. I think the big banks are broken.

And 'Too Big to Fail'. Nothing becomes 'too big to fail' without the government running interference for them. It is no surprise that they are able to cut costs to a break-even point, while receiving a $64B payout...

DanielLaRusso
02-21-2013, 01:07 PM
If you have an hour, here is a nice little documentary that does a good job painting just how deeply entrenched in politics the ultra-rich are. It's called Park Avenue: Money, Power, and the American Dream
http://video.pbs.org/video/2296684923