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Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - Printable Version +- Cincinnati Bengals Message Board / Forums - Home of Jungle Noise (http://thebengalsboard.com) +-- Forum: Off Topic Forums (http://thebengalsboard.com/Forum-Off-Topic-Forums) +--- Forum: Politics & Religion 2.0 (http://thebengalsboard.com/Forum-Politics-Religion-2-0) +---- Forum: P & R Archive (http://thebengalsboard.com/Forum-P-R-Archive) +---- Thread: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys (/Thread-Congress-to-Eliminate-Billions-in-Wall-Street-Subsidies-Fund-Repair-of-Nation%E2%80%99s-Hwys) |
Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - GMDino - 10-09-2015 Can this be true? http://usuncut.com/politics/congress-to-eliminate-billions-in-wall-street-subsidies-to-fund-repair-of-nations-highways/ Quote:Both parties of Congress are in agreement on diverting billions in Wall Street subsidies to rebuild America’s crumbling infrastructure. If you’re by a window, look outside for flying pigs. Damn progressives! ![]() RE: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - michaelsean - 10-09-2015 Normally I'd be against this, but we need a new bridge. ![]() RE: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - Au165 - 10-09-2015 The roads ain't going to fix themselves.... RE: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - Belsnickel - 10-09-2015 Just for a more regularly viewed news agency: http://www.wsj.com/articles/proposal-would-use-some-fed-bank-dividends-for-highway-funding-1437518194 RE: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - GodHatesBengals - 10-09-2015 Wow. Republicans are gonna pass a good bill and they've even agreed not to lace it with garbage policy? I guess they deserve a pat on the back for doing their jobs for once. RE: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - Belsnickel - 10-09-2015 (10-09-2015, 03:49 PM)GodHatesBengals Wrote: Wow. Republicans are gonna pass a good bill and they've even agreed not to lace it with garbage policy? Wait until we see the riders... RE: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - JustWinBaby - 10-09-2015 Ehhh, I think it's more properly viewed as instituting a tax rather than ending a subsidy, because what's actually happening is the govt/Fed saying "we're going to pay you a lower interest rate on the money we've forced you to lend us". As the WSJ points out, the member banks are legally mandated to capitalize the Fed. This stock is essentially worthless, because they can't sell or trade it or even borrow against it. That capital is money they would otherwise lend out and earn a return on, so the dividend was always recognized as a modest return on that "investment". I don't really have an issue with it. Just laughing at how any time Washington wants to increase corporate taxes, they try to obfuscate the issue by couching it in terms of ending "handouts, welfare and subsidies" - none of those terms are very accurate, when someone is already paying taxes the practical reality is simply lowering or raising their taxes. Only in the bizarro world of Nancy Pelosi is taking LESS money from me equivalent to giving me a handout. RE: Congress to Eliminate Billions in Wall Street Subsidies: Fund Repair of Nation’s Hwys - JustWinBaby - 10-09-2015 I should add that corporations increase/lower their dividend all the time. And in a low interest rate environment, borrowing costs are lower and banks also aren't earning the same higher interest rates on loans. So in that regard, there's nothing particularly extraordinary or unusual about that 6% dividend floating with the economy. That said, it's not that simple with banks because what they earn is actually based on spreads. Typically their margins decrease in rising rate environments and increase in falling interest rate environments, and are otherwise fairly stable. In other words, this is really an increase in the cost of membership (which has its privileges). The dividend is kind of a wonky concept, because in reality the cost of that capital to the banks is just what they pay in interest on deposits (which is 2% on a short-term cd's, but practically nothing on cash - whatever that averages out to). And seems like reserve requirements and the fed funds rate would matter more to margins and how much they can lend. |