I expect to see their bill introduced that just sends out checks to those making under 35K any minute now then right?
OK. . . so THIS IS WHAT IS BEING SAID on the Democrats side. WHY the Covid 19 bill was NOT passed Here are the facts: Nancy Pelosi is calling the Senate bill the "McConnell Corporate Slush Fund" and here is what she says is wrong with it: • McConnell’s bill includes a $500,000,000,000.00 corporate slash fund for CEOs and the ultra rich — while leaving workers, families and children out to dry. • McConnell’s bill has weak stock buyback language that can be waived by the Treasury Secretary; executive compensation limits only last for two years; language on worker retention is weak and includes easy outs for companies; there are no assurances in the language that workers will benefit. • The bill provides little transparency of the lending done by Treasury (amount and to whom?). • There are no specific provisions to protect from individuals from eviction, foreclosure or forbearance. Other Major Problems: • No money for state and local governments. • No additional SNAP funds. • No OSHA language to protect workers. • No expanded emergency leave provisions. • Only 3 months on Unemployment Insurance – this is an insufficient length given the scope of the crisis. • Direct Payments are not available to the millions of people who did not file a return in 2018 or 2019. • No money to help with the treatment of the uninsured. • The bill does not provide adequate relief for the 44 million federal student loan borrowers. Rocket River
I own an incorporated business. I am a major shareholder of that corporation. I receive dividends as income if there is profit. Remind me again how much more complicated it is for any other corporation? Because they're publicly traded? Running a large company is 100% irrelevant to this topic of discussion. What I find funny is that everyone seems to forget that the stock market was set up SPECIFICALLY so that corporations could have access more capital to expand their business. Not to buy back their own stocks! Good god, now it has mutated into this obscene money machine that has endangered the entire economy. Because these mega corporations are so essential they could "destroy the economy" if they fail, great, so they get a taxpayer funded pass to become perpetual recipients of bailouts. And because they are essential they are guaranteed the revenues to pay any bailouts back and then some. Let them continue to engage in risky behavior, because we can never let them fail. Wonderful.
So basically, our capitalism has evolved to where the government is effectively bankruptcy insurance for companies deemed essential. Fine, just make sure that company's tax bills reflect paying a premium for this. Sort of like how in 2008/2009, I wish banks FDIC insurance reflected the risks the banks take with their balance sheet.
Thanks for your comment. First of all, I own an incorporated business. I am a major shareholder of that corporation. I receive dividends as income if there is profit. The size of a business has absolutely nothing whatsoever to do with whether or not it is a corporation. I hope you already knew that. Second - which I hope is not another news flash for you - corporate debt has risen over 50% since the last financial crisis and is probably the biggest threat to the economy right now. So no, we are not just talking about playing with profits. It's called leverage, and many corporations are now over-levered. A full 30% (maybe more) of share buybacks were done with corporate bonds. For heaven's sake. Should an industry (airline) that is supposedly "essential" to the economy be allowed to spend 115% of its free cash flow on share buybacks? Sorry, that is not what any responsible company would do if they faced the risk of destruction. That's obscene and indefensible in the face of asking for bailouts. But of course they know they are backstopped by the government, so they can act recklessly with impunity. I am not against share buybacks in theory, but if you are going to be bailed out by the taxpayers of this country then there should be rules that prevent you from engaging in risky behavior that is designed to enrich the already wealthiest shareholders, and endangers the entire economy in the process. Anyone interested in why this trend of share buybacks is obscene, bad and dangerous for the economy, read here: https://hbr.org/2020/01/why-stock-buybacks-are-dangerous-for-the-economy
At some point the system needs to let these 'essential' businesses fail There is a difference between keeping a company afloat and keeping people employed.
and not being bankrupt doesnt stop them from laying off people while executives and shareholders reward themselves. A company not being bankrupt is a necessary, but not sufficient condition, for people to remain employed The primary aim of the bailout should be to keep people gainfully employed and not to enrich the few at the expense of tax payers. Any deal that doesnt ensure that betrays the trust of the people. Tax payers money should not be used to reward shareholders and executives.
In a nutshell this was Pelosi refusing to give the GOP and Trump anything to point to to say they helped the crisis. She want's to trot out her own version and take all the credit. That was about November.
You might want to go read what Pelosi and Co are wanting to add to this thing - They aren't willing to just help people , they are trying to force their agenda into the deal. The GOP Senate bill was pretty bare bones and stuck to the task at hand of this financial crisis - not a bunch of pork. Pelosi is a shrewd woman ....
And this is why I stated in my earlier post that The bill should be for the PEOPLE... It should be a very thin bill with only the necessary requirements and no BS from either party... T_Man
Why not just focus on the unemployment part? Anyone laid off during this crisis continues to get their regular paycheck paid by the government until such time they find a new job or the pandemic is deemed over. Corporations can receive the same deal companies like AIG got after 2008 where they were bailed out and had to pay it back.
Then you should be pissed off at Pelosi for not letting that happen. They are trying to add a whole bunch of agenda driven BS into it , otherwise they won't let it pass and get help to the people that need it. McConnell knew damn well he couldn't add any agenda driven stuff to this bill and expect Dem support - he put out a bare bones help who needs it now bill and the Dems won't pass it because it gives him and Trump a "Win" to point to and paints them in a better light in terms of handling this crisis.
Man you guys are like a broken record... @Rocket River posted why Pelosi would not sign the bill.. It's both parties... but you guys hate the Dems do much, that's the only party you see or you're listen to the BS Koolaid that Mitch is making... T_Man
Dude , I don't hate the Dems , I've committed to voting for Biden .... I see a wall of text and no link provided by RR and he did state this is whats said on the Dem side. So - that's probably half the story. Here's the other half of the story: Here's more in case you don't like the source. Like you said , two sides to every story ..... and straight up , Pelosi is playing games.
moral hazard? what's that? Ofc she's playing games. TARP and other bailout relief bills have proven thhat this is the only time they and businesses listen. It was only a year after TARP when banks were bellyachin about it's restrictions...how they "took the deal as a favor". **** that. These greasy people are not to be trusted. Frontload everything because people forget easily and you won't get a second chance. If Republicans were true Conservatives...libertarians...whatever skin they haven't shed atm...there would be NO BAILOUTS. Think about that for a second.
The subprime mortgage backed securities problem was a different animal. The companies who were bailed out caused the problem in the first place by their risky behavior and willingness to believe (pretend) that if you aggregate enough fecal matter together you can turn junk into prime through the magic of diversification. here, the businesses that need assistance didn’t cause the problem. It is a pandemic. Take care of the workers. But make sure the employers survive too so that the jobs are still there.
She’s a shrewd woman, I’ll give you that, and thank goodness. McConnell deliberately kept the Democratic leadership from participating in writing the Senate bill and then presented the bill to the Democrats, larding it with enough serious flaws that he knew they wouldn’t vote for it. Why? So he could act out his phony “partisan Democrats holding America hostage” crap. When I first heard that McConnell was going to do it, I said as much somewhere here in D&D, and that’s exactly what he’s done. People like you are falling for it, hook, line, and sinker. More’s the pity.
