Mitt Romney said he is not going to apologize for being successful, which misses the whole point. Success is not on trial, it’s the less than stellar, and underhanded business/banking practices conducted throughout the past half century that should be on trial.
According to the book “Age of Greed”, by Jeff Madrick, during the seventies when stock prices were low, Wall Street investment banks began looking for other ways to make profits, and created the LBO (leveraged buy out). If a company had low stock prices, they became a potential target for a hostile takeover. To stay in business, many companies began acting like they were being taken over by lowering wages and slashing employees.
Wall Street investment banks started the LBO mania, and investment banks represented both the buyer and the target. This allowed them to have insider information concerning a company which was being targeted or purchased. Knowing both sides of the merger prompted Wall Street bankers to take big risks betting on the new merged companies. This was just one of their “less than stellar” business practices which corrupted the rest of the sectors of the economy to the point of being totally dependent upon the financial engineering of Wall Street to make a profit.
When Wall Street investment banks became public, they could use other people’s money, subsequently they became the innovators in this new world economy of finance where risk was no longer a deterrent to bad business practices.
Hostile takeovers still rage today; Bain Capital is involved and helps fund them. This is why there is discontent and resentment for those who have been successful in the bad business practices banks have brought us. On top of that, the banks get their funds replenished from the Federal Government, and it’s back to business as usual. But for homeowners and taxpayers in general it’s a totally different story. Millions of Americans have lost all financial value in our savings and especially in our property. Our life’s work, gone. But after loosing all that, it’s our taxes that are replenishing the coffers of the banks. We’re not envious at all… we’re angry that we’ve been robbed for following the rules. Look what the banks along with the government’s help has done to us. Mitt Romney calls it class envy. Far from it, it‘s an understanding that banks have wrecked the financial system as we knew it.
Nomi Prins in her book “It Takes a Pillage” said, “on Wall Street it’s not even how much, it’s who is making the most money that counts.” Talk about class envy, it’s everywhere, and especially on Wall Street not just Main Street.
According to the book “Age of Greed”, by Jeff Madrick, during the seventies when stock prices were low, Wall Street investment banks began looking for other ways to make profits, and created the LBO (leveraged buy out). If a company had low stock prices, they became a potential target for a hostile takeover. To stay in business, many companies began acting like they were being taken over by lowering wages and slashing employees.
Wall Street investment banks started the LBO mania, and investment banks represented both the buyer and the target. This allowed them to have insider information concerning a company which was being targeted or purchased. Knowing both sides of the merger prompted Wall Street bankers to take big risks betting on the new merged companies. This was just one of their “less than stellar” business practices which corrupted the rest of the sectors of the economy to the point of being totally dependent upon the financial engineering of Wall Street to make a profit.
When Wall Street investment banks became public, they could use other people’s money, subsequently they became the innovators in this new world economy of finance where risk was no longer a deterrent to bad business practices.
Hostile takeovers still rage today; Bain Capital is involved and helps fund them. This is why there is discontent and resentment for those who have been successful in the bad business practices banks have brought us. On top of that, the banks get their funds replenished from the Federal Government, and it’s back to business as usual. But for homeowners and taxpayers in general it’s a totally different story. Millions of Americans have lost all financial value in our savings and especially in our property. Our life’s work, gone. But after loosing all that, it’s our taxes that are replenishing the coffers of the banks. We’re not envious at all… we’re angry that we’ve been robbed for following the rules. Look what the banks along with the government’s help has done to us. Mitt Romney calls it class envy. Far from it, it‘s an understanding that banks have wrecked the financial system as we knew it.
Nomi Prins in her book “It Takes a Pillage” said, “on Wall Street it’s not even how much, it’s who is making the most money that counts.” Talk about class envy, it’s everywhere, and especially on Wall Street not just Main Street.
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