28 October 2012. A Dose of Truth to Counter Brazen Republican Lies

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If corporations and the rich paid taxes at the same level as in the 1960s, the debt would disappear in a decade,” according to a study by the Institute for Policy Studies.

• In the 1940s, corporations paid 43 percent of all federal income taxes collected in the USA. In 2010, that percentage was only 8.9 percent.
• The USA raises less corporate tax revenue than most developed countries.
• The top statutory tax rate is 35 percent, but companies pay an average effective tax rate of about 25 percent. Some large companies paid nothing in taxes in 2010.
• Twelve major corporations made 171 billion USD (5.38 trillion Roubles. 132 billion Euros. 106 billion UK Pounds) in profits from 2008 to 2010, yet had a negative income tax rate of 1.5 percent.
• In 2010, the tax bill of General Electric, with reported worldwide profits of 14.2 billion USD (447 billion Roubles. 11 billion Euros. 8.8 billion UK Pounds) (5.1 billion USD (160.5 billion Roubles. 4 billion Euros. 3.2 billion UK Pounds) from its operations in the USA) was: ZERO.

During this pre-election period, many corporations seem to be busy brazenly intimidating their employees and telling them how to vote, as opposed to reading credible economic analysts. Not for just the last decade or so, but well before, the American public has learnt that Wall Street and Big Business aren’t where you look for the best economics or the best ethics. Let’s not forget their role in the Great Depression of the 1930s, a human catastrophe brought on by the greed and lack of government regulation in the Gilded Age and the Roaring Twenties. The current fiscal crisis also belongs primarily on Wall Street’s doorstep. Only careful regulatory policies by the federal government, combined with smart counter-recessionary government spending, can get the American economy back on its feet.

http://consortiumnews.com/2012/10/27/anti-government-economic-orthodoxy/

Editor’s Note:

I need add nothing. These vulture capitalists pay less tax than many of us do. It’s time to change that, kids. However, voting for Romney will only bring the Visigoths and Yahoos into the Forum, and we’ve got to prevent that. That’s all that one needs to say, no?

BMD

 

28 October 2012. Romney Wants to Return to the “Gilded Age”… Gilded for Whom? Good-Sense from Bernie Sanders…

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In the midst of the worst economic downturn since the Great Depression, Wall Street and Corporate America (and virtually all Republicans) are working on a deficit reduction plan to cut Social Security, Medicare, and Medicaid, whilst lowering tax rates for the wealthy and large corporations. Sadly, some Democrats are also engaged in this effort. This plan is likely to come up during the lame duck session of Congress after the elections. The idea of balancing the budget on the backs of some of the most vulnerable people in our country… the elderly, the children, the sick and the poor… isn’t only morally grotesque, it’s extremely bad economics. We must vigorously oppose this plan.

As you know, the primary cause of the large deficit that we’re now experiencing are Bush’s two unpaid-for wars, huge tax breaks for the rich, and a prescription drug programme written by the insurance and drug companies. Further, because of the greed, recklessness, and illegal behaviour on Wall Street, which drove us into this terrible recession, revenue at 15.2 percent of GDP is the lowest in 60 years. In order to cover the cost of the unpaid-for wars in Iraq and Afghanistan, they want to make significant cuts to Social Security that’ll affect not only seniors, but also disabled veterans. They want to do this despite the fact that the payroll tax funds Social Security, it hasn’t added a penny to the deficit, and it has a 2.7 trillion USD (85 trillion Roubles. 2.1 trillion Euros. 1.7 trillion UK Pounds) surplus. 

In order to cover the cost of tax breaks given to millionaires and billionaires, they want to increase the Medicare eligibility age from 65 to 67 and throw millions of families with children off of Medicaid. At a time when the USA has the most unequal distribution of wealth and income of any major country and the gap between the very rich and everyone else is growing wider, their deficit-reduction plan calls for lowering the top tax rates for the rich and large corporations to 28 percent or even lower. There are fair and sensible ways to reduce deficits, but having the rich and the powerful beat up on working families and the elderly isn’t one of them.

Bernie Sanders

US Senator (I-VT)

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If you vote for Willard Romney, you vote to kick ordinary Americans in the teeth full-force so that the Affluent Effluent can party on, without any sacrifice or pain (after all, they’re the only “productive people”). That’s the consequence of your action.

I’m voting for Obama… so should you.

BMD

PS:

By the way… the cutoff level for the One Percent is 506,000 USD (15.92 million Roubles. 391,000 Euros. 314,000 UK Pounds). That is, if we were to seriously raise taxes on those making over 500,000 USD (15.73 million Roubles. 386,000 Euros. 310,000 UK Pounds) a year, very few people would be affected. However… these people think that they “own” the country. Let’s show ‘em otherwise…

BMD

USA on the Verge of a “Fiscal Cliff”

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 No matter who takes the US helm, Barack Obama or Mitt Romney, the winner will have to tackle the budget deficit problem which many experts consider threatening the global economy. Some even call it a fiscal cliff. The GOP and the Democrats approach the issue differently but its solution will be decisive for financial well-being of all countries around the globe. Neither candidate plans tough austerity, but both back tougher taxation. Obama proposes to tax the rich, whilst tycoon Romney wants to tax everybody.

Russian economist Yevgeni Yasin believes, “This is all pre-election rhetoric, but, in practise, unpopular measures would be inevitable. Any drastic decision could trigger side-effects in the global economy. If the USA keeps on squandering money like this, its economy, as well as the global one, would fluctuate for some time, but, then, finally collapse”. Andrei Vavilov, the head of the Financial Research Institute, said, “Anyway, the winner would have to “relaunch” the American economy for further growth. It’s crucial to stimulate business activity, which is a priority for Romney, whilst Obama pays less attention to this sphere”.

According to a Foreign Policy magazine poll, half of the leading American economists find Obama’s economic strategy more reliable and rebuke Romney’s plan as being dangerous and unrealistic. Larry Summers, ex-US Treasury Secretary and the head of the National Economic Council, mocks Romney’s economic course. Meanwhile, Wall Street investment banks think that time is running out and urges the President and the Congress to prevent a collapse. However, politicians are unlikely to handle financial issues when the presidential race is approaching its peak.

19 October 2012

Anna Zhdanova

Voice of Russia World Service

http://english.ruvr.ru/2012_10_19/US-on-the-verge-of-a-fiscal-cliff/

Editor’s Note:

The fiscal crisis is due to four factors:

• Overly-expensive wars in foreign parts unrelated to national defence or national interests
• Tax cuts to the wealthiest Americans enacted during wartime (!)
• Deregulation of the banking industry
• Businessmen using Third World locales to circumvent labour and environmental regulations

The way out is clear. Firstly, we must “bring the legions home”, end the wars, and cut military spending for at least 20 years. Secondly, we must restore taxation on the rich to the levels of 1980. Thirdly, we must repeal all of Reagan’s “deregulation” and reimpose strict regulation of the banking industry. Fourthly, we must stop “outsourcing” by penalising businessmen who send jobs overseas.

That would cure the ill… but the Republican Party wants short-term gain over long-term health. It does indicate whom to vote for on 6 November, doesn’t it? Remember, a vote for Romney is a vote for war, higher taxes, and a corporate dictatorship. If we hold back the Republican racists this time, they may never get up again (due to changes in American demographics). That’s why we all have to vote…

BMD 

 

Who’s the Boss?

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The current American election campaign will determine who’ll sit in the White House in Washington DC for the next four years. However, whoever’s elected, they’ll run the White House, but they’ll definitely not rule the country. A number of recently-released reports highlighted long-suspected, but not confirmed, old truths. Who leaked them to the media, no one knows. However, the first-ever official audit of the US Federal Reserve System (which functions as a central bank in the USA) singled out the fact that the Fed allocated incredibly huge amounts of money for American businesses during and after the 2008 crisis.

According to Senator Bernie Sanders (I-VT), “Wall Street made the largest coup in world history at the expense of American taxpayers. An independent audit conducted at my request revealed that the Federal Reserve earmarked a startling 16 trillion USD (498 trillion Roubles. 12.35 trillion Euros. 10 trillion UK Pounds) at zero interest for major financial institutions, large corporations, and wealthy individuals without the approval of Congress and president, as required by law”. If it weren’t for Senator Sanders’ credibility, and the fact that it came from data in an independent audit, this information could easily pass for a tall tale designed to create a sensation. However, Washington officials and the Fed’s leadership made no rebuttals concerning the reports; the American news media, usually so thirsty for sensation, have kept a stony silence on this as well. This shows all concerned who’re the bosses of the so-called “free” American media. After all, silence is consent.

However, it’s a mistake to think that the Federal Reserve, which performs central bank functions in the USA and has the right to print dollars, is subject to the government. The US Federal Reserve is a privately-run corporation, which assumed central bank functions in 1913 because of collusion between top politicians and bankers. Even though the Constitution doesn’t mention it, it’s been virtually uncontrollable; it’s practically independent from the government and President, the Federal Reserve has steered American economic policy since 1913. There can be no doubt as to whose interests the US Federal Reserve is trying to protect. A recent audit revealed that the recipients of the billions issued by the Fed since 2008 include Wall Street’s principal banks, including such “poor” institutions as Morgan Stanley, Bank of America, Goldman Sachs, and Merrill Lynch.

At present, these banks are injecting huge funds into the election campaign of billionaire Mitt Romney, who declared Russia “Enemy Number One” and promised generous funding for military programmes. The Democratic candidate’s campaign isn’t experiencing any shortages of funds either. According to reports, the current election campaign is costing Obama about one billion dollars (31.1 billion Roubles. 775 million Euros. 625 million UK Pounds). Of course, these billions for the election race aren’t coming out of the blue. Regardless of who wins the election, the winner may think that they’re master in the White House, but they’ll be sadly mistaken.

9 October 2012

Valentin Zorin

Voice of Russia World Service

http://rus.ruvr.ru/2012_10_09/Kto-hozjain/