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And another thing.. Trumps tax cuts 49% benefit the top 5% of earners
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Pofarmer
Posted 5/4/2025 09:27 (#11213249 - in reply to #11213204)
Subject: RE: And another thing.. Trumps tax cuts 49% benefit the top 5% of earners



I think the problem is, that you've got a system set up where these huge equity firms(with really smart accountants and traders) set up a system where, using other very wealthy people's money(often you have to have multiple million dollar net worth to even invest in some of these groups) get deals where they actually don't have much of a financial stake. At least when the Gates Foundation buys farmland, Bill Gates money is actually at stake. In the case of these "leveraged buyouts" the PE companies put up a minority interest, and then proceed to draw their equity out as quickly as possible either through management fees or real estate deals or stock transfers or who the hell knows. The lenders set up interest rates high enough, often 20% or more, that if the deal goes a reasonable amount of time, and there's any residual value left at all, they will also still come out on the deal. The company gets pieced out over a period of time that let's everyone recoup their initial "investment" plus a profit, and then it declares bankruptcy. It's happened enough times now it's a trend. Hell, it happened to our local hospital, but it only took a couple years. There's a pattern on operations in companies where these firms come in. They fire as many people as they can and barely remain operational while they loot the rest of the organization(sounds like DOGE). And at the end of it they sell whatever's left, or abandon the corpse. They pay huge "fees" to the parent companies, or companies of the parent companies buddies.  So, I think, the question is, how do you protect an economy from looters?

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