Pariahs of Profit
In Barack Obama’s brave new caste system, profiteers have quickly become the untouchables. Much of the debate over healthcare can be reductively boiled down to the fact that those who are more liberal think that it is immoral for a company to profit off of the health of another person. Most conservatives don’t care about this, and tend to think it is more immoral for the government to even hint at taking an even larger role in the health care system when its financial track record in the health care systems that it already runs are so dismal. Since liberals are currently running the government and a large portion of the media, it hasn’t taken long for a climate to develop in the country where making a profit is seen as a grievous sin and recklessly spending public finances through record deficit spending is seen as a virtuous act.
It’s nice to see that this new change in attitude hasn’t been lost on the treasury department. Earlier this week, there were several news stories about certain institutions paying back their TARP money. They were even going to pay back the money with some interest, hence the taxpayers were making a profit. However, yesterday we learned that the wise stewards of TARP haven’t been the great investors the original stories made them out to be. According to this story, a recent audit shows that taxpayers are showing a loss of $61 billion dollars on just the AIG and auto company bailouts. This loss wipes out the $19.5 billion profit reported earlier this week.
If a publicly traded private company engaged in this kind of behavior, it would be investigated for securities fraud. If the public company of our government, whose stock is privately traded among various special interest groups, engages in this kind of financial reporting, nobody cares. Also, if a company with a $700 billion market cap reported a $40 billion loss in one year, the market’s reaction would be swift and painful. If Obama & Bush inc. loses this much money, there’s not much that can be done. After all, there was so much resounding shareholder…I mean taxpayer support for Obama to buy off his supporters in the UAW with the auto bailout, that this is a bad investment that we are all going to have to live with.
Most presidents get out of office and build a library or something. Obama should start an investment bank.
Stumble it!





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