Barack’s Fiscal Plan Would “Change” America With the Sucking Sound of Personal and Corporate Wealth Leaving the Country

Posted on April 13, 2011


“Warren Buffet doesn’t need another tax cut” [Barack Obama, Georgetown University Lecture, April 13, 2011]  Surprise, Barack.  Warren is one of the few that would expect to pay it.

“We need to revise the corporate tax code to make us more competitive.” [about what Professor Obama said same lecture, same day as above – my class notes are a bit rough.]

Well now, the wealthy have been given sufficient notice to move even more money off shore; corporations have been relieved they don’t have to rip us off anymore to raise profits, the government will do that for them.

Professor Obama is beating a dead horse.  Worldwide wealthy Greeks, Chinese, Saudis and Americans have been stashing personal wealth in tax havens; have moved money out of local banks and given it over to great international banks that can accommodate these kinds of movements.

Wealthy Greeks and companies have been clamouring to move their cash deposits to banks such as HSBC or France’s Société Générale, which operate large branches in the country. They are among those to have received several billion euros of new money in recent weeks [Telegraph]

So this kind of thing can kill off local banks and add to the wealth and power of the large international banks.

Wealthy Chinese are turning to black market banks to transfer their fortune abroad. Picture: A man hands over money to a black market bank. (File Photo/CNS)Wealthy Chinese are turning to black market banks to transfer their fortune abroad. Picture: A man hands over money to a black market bank. (File Photo/CNS) 

Unauthorized financial institutions have become an effective channel for the rich in China to hide their wealth overseas. Indeed, some underground organizations have even created efficient global networks to serve their wealthy Chinese clients.

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These unauthorized institutions have a simple and speedy process for money transfers, which can be completed in just minutes, while their wide international networks help Chinese clients avoid scrutiny from the mainland’s banking, taxation and commercial authorities. [WantChinaTimes]

In 2009, Billionaires in the US were evaporating in number:

…[As] plunging stock markets, volatile commodities and banking collapses scar the business world, the number of people who can call themselves billionaires in US dollar terms has dropped from 1,125 to 793. It is the first time since 2003 that the billionaires’ club has contracted.

The amount of money controlled by the elite group has plummeted from $4.4tn to $2.4tn. In Britain, the number of billionaires has dropped from 35 to 25 as figures such as Carphone Warehouse’s Charles Dunstone and Sports Division’s Tom Hunter slip off the list. [Guardian]

With the stock market now  up, perhaps those with money are even wealthier having profited from the low cost of homes and stocks during the depression.

Make no mistake, a punitive tax code does not change the lives of the wealthy; it drastically transforms the lives of the remaining members of the middle class. You see, Barack, those earning $250,000 are now members of the middle class and you want to make them an endangered species.

Simplified tax codes and imaginative thinking might just do the trick.  We need new thinking now more than ever.  That is the change America needs. Barack, your text is outdated.  You need to do a rewrite.