This should please the Occupiers and Democrats

Except for that tiny portion of Democrats who suck up cash tributes from these guys, but how many could that be? Wall Street bonus pool declines 14%. Of course, there is this:

Before the financial crisis, business and personal tax income collections from Wall Street-related activities accounted for up to 20% of state tax revenue, but that figure fell to 14% last year. The industry’s contribution to the city’s tax collections has dropped to less than 7% from 13%.

A small price to pay for such a large step toward equality. Besides, the city and state will just trim their expenditures and never notice the absence of this money, right?


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9 responses to “This should please the Occupiers and Democrats

  1. Anonymous

    Hey Teribuhl: and you often quote this sophomoric punk as if he’s remotely credible?

    That kid (emphasis added) has no idea of what he speaks.

  2. Anonymous

    Many Wall Streeters are traders, and they mostly contribute to and vote for Democrats, in Presidential and state and local elections…a fact I’ve never been able to understand!

  3. Digler

    Anonymous, you are very naive. Wall Street contributes to both parties but contributes the most to whoever they think is going to win. You can’t own the politicians if you do not pay for them! Last election they bought Obama because they knew the Republicans had no chance of winning.

  4. Anon58

    Digler is right on.

  5. Anonymous

    It’s not hard to understand why most finance folks are Dems. Wall Street is a direct beneficiary of the blue-state finance model, and it’s the Dems who enable the thievery.

    Huge deficit spending leads to huge trading opportunities in fixed income. Ask any Wall Streeter, collectively which of the desks are bigger: fixed income or equities? US govvies, Munis, State bonds, Mortgages have created a huge playing field for shenanigans. The government thieves and idiots at Fannie and Freddie backstop the bulk of loser mortgages with taxpayer money. What’s not to like?

    The bloated public payrolls for government employee unions and private union retirees quitting at a young age with fantastic benefits, has created a huge bloat in ERISA funds for asset management and therefore trading. Higher salaries leading to higher retirement benefits lead to more assets to manage. 2 and 20 been ‘berry’ berry’ good to me.

    Let’s not forget the derivatives desks, and the havoc they have wreaked, Orange County, the County in Alabama, the city of Harrisburg, PA. The list of the corrupt and gullible is long.

    Exquisitely designed regulations and tax treatment for individual retirement funds, 401K, IRA, Roth IRA, all just shovel more money to Wall Street.

    Then all that money allows regulatory capture, to continue the cycle of bloat.

    Chuck Schumer, Chris Dodd, Barack Obama please call your offices.

  6. FlyAngler

    Digler – Money from the Street has a weather vane like consistency but you miss one point about 2008 – McCain hates Wall Street in a way that is almost visceral. He doesn’t trust anyone in Finance and believes they are all a bunch of overcompensated egoists. Now, that might be true, but McCain was NEVER going to get much support from the Street.

    Further, Obama is an elitist, an Ivy Leaguer who spoke well, looked good and worse a suit well. This appealed to the vast majority of Wall Streeters who see themselves as part of the new elite so they were drawn to him like moths to a flickering candle flame. Unfortunately, their infatuation allowed them (an millions of others), to ignore Obama’s spoken words, either in the past or during the campaign. If they had actually paid any attention, they would have noted that Obama’s world-view was antithetical to the capitalist motive of Wall Street. If they had headed Obama’s unscripted moment of truth with Joe the Plumber, the Streeters would have felt a cold shiver go up their spine. I know I felt it them….

  7. FlyAngler

    Sorry, worse = wore above. Darned iPad autocorrect run amok.

  8. AJ

    CDS are a form of derivative taken out by investors as insurance against default. According to the Comptroller of the Currency, nearly 95% of the banking industry’s total exposure to derivatives contracts is held by the nation’s five largest banks: JPMorgan Chase, Citigroup, Bank of America, HSBC, and Goldman Sachs. The CDS market is unregulated, and there is no requirement that the “insurer” actually have the funds to pay up. CDS are more like bets, and a massive loss at the casino could bring the house down.

    It could, at least, unless the casino is rigged. Whether a “credit event” is a “default” triggering a payout is determined by the International Swaps and Derivatives Association (ISDA), and it seems that the ISDA is owned by the world’s largest banks and hedge funds. That means the house determines whether the house has to pay.

    The Houses of Morgan, Goldman and the other Big Five are justifiably worried right now, because an “event of default” declared on European sovereign debt could jeopardize their $32 trillion derivatives scheme. According to Rudy Avizius in an article on The Market Oracle (UK) on February 15th, that explains what happened at MF Global, and why the 50% Greek bond write-down was not declared an event of default.

    If you paid only 50% of your mortgage every month, these same banks would quickly declare you in default. But the rules are quite different when the banks are the insurers underwriting the deal.


  9. Digler

    Anonymous @ 8:51 makes a pretty good argument as to why finance professionals would not mind democrats in office. Plus, it seems like most of these folks are easy to buy and they tend live high off the hog once they are elected.
    Flyangler, i do not think i missed the point regarding Obama and his support last election. McCain was a doddering old fool during his campaign and he really went off the reservation when he picked his running mate. The best Republican in the world could not have been elected after 8 years of Bush and and so Wall Street just placed their money on the sure thing. Finally, there was a lot of white liberal guilt that bought his hope and change message. He fooled those people too.
    A bigger question is why do the Jews (i would guess at least 50% of our finance professionals) continue to vote for the Democrats when most of the pro-Palestine and Anti-Israel rhetoric comes from that side of the aisle? I can never figure that one out.