Once again, Congress has been spot on. They find something they don't like, then they just pass a bill to tax the hell out of people who they think make too much money. In this case, they decide to pass an ex-facto tax bill to tax AIG executives who received a bonus 90%. For those who think this is fair, because they didn't deserve that bonus, then consider this.
AIG is obligated, under contract, to pay out these bonuses. These contracts may have been signed several years ago before the problems of AIG and the economy were known. How can you pass a bill that will tax 73 people, even though they were due those bonuses? This may be the downside of capitalism, but the government cannot pass a bill after the bonuses have been paid and decide to tax it 90%. You all wanted change from Obama? Well, you are getting it.
Obama and Congress is set to take all of your money if you make too much money in your eyes. They push the Fed to buy $300 billion in Treasury bonds; what a horrid idea. The government is just as bad at being short-sighted as the typical American. Does anybody ever think about a large spark in inflation? We are so wrapped up in deflating prices, that the government is overcompensating by keeping interest rates ridiculously low while flooding the market with cash. What is so difficult about simple economics? Why are we so narrow-minded and short-sighted when trying to fix the economy?
The way to fix the economy is to let the market work itself out. It may take 2 years for this to happen, but what Congress is doing is preparing us for another economic downfall by flooding the market with cash. All we have to do is suck it up for a while, and work to build the industry that will define the United States in the future. The government needs to focus on reworking some regulations that will prevent economic meltdowns like we are currently experiencing. If we don't learn from our mistakes, then we will be right back here again in several years.
Another suggestion: stop bailing out financial institutions and automakers. If these businesses cannot run on their own, then let them fail. Stop using the excuse "they are too big to fail." Maybe if they weren't wrapped up in unprofitable ventures and were not taking extraordinary risks, then they wouldn't be in this mess. Does the government help other businesses who are failing? No. But if you stick out your hand and whine for a bailout, you will probably get one. Just look at the automobile suppliers; they received $5 billion in bailout funds, regardless if they go bankrupt. What crap! Screw Obama's and Congress's thoughts of a trick-down effect. If American automakers are making horrid cars and vehicles, how will additional, cheaper parts help? Maybe they should focus on more fuel efficient cars instead of hoping for a bailout. The government has already handed out more than $1 trillion in cash. $1 TRILLION!!
Americans should stop whining about these corporate bailouts, and should focus on the wasteful spending of Congress. So, learn your economics, stop listening to media pundents, and think for yourself. You weren't whining about bonuses before, so don't whine about them now. Worry about how money is being spent freely by the government, throwing our deficit into a deep hole.