According to Goldman’s Buyback Desk, last week was the most active week in its history. It seems that the largest benefit from the GOP tax cut, to publicly traded companies, is that they can buy back their own stock. 67 billion dollars has been spent in this manner in the last six weeks. Further, 83% of the publicly traded companies do not expect their new tax cuts will boost salaries at all. (This information was published by Aon Hewitt, an international consulting firm.) There is no stimulation to the general economy from this activity.
Another fun fact is that, so far, 5.1 billion dollars in miscellaneous benefits have been passed on to the actual workers, while 178 billion dollars are staying with the corporations and their shareholders. In other words, financial benefits to corporations are 35 times greater than financial benefits to their employees. More fleecing comes to light everyday. While the proud Republicans crow about what a great accomplishment their tax bill has been, the reality of this cruel and self-serving act becomes more apparent.
Affordable insurance to assure reasonable health care costs and the cutbacks to socially necessary programs are just two of the casualties. The new jobs that might be created have turned into broken promises. The one time bonuses average $1000. which offers a family an extra $83. a month toward the growing costs of health insurance, electricity, internet access and food. Economists, for the most part, warned of the effects such a tax bill would pose to our country. They warned that there would be no “trickle down” and there would be no new money flooding into the economy.
While the infrastructure that supplies safe water fails, while our roads and bridges crumble, while our protective regulations on banks are eased, while polluters are encouraged, while we respond to disasters caused by climate change – we can rest assured that the corporations and their congressmen will be well paid.
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