[quote=markmax33]Kcal – There are two types of business in America.
1. Crony Capitalism – where people get sweetheart GOV contracts, manipulate the GOV for business advanatages, etc. Haliburton is crony capitalism. The banks are crony capitalism.
2. Real Capitalism – that doesn’t prey on the taxpayer. Apple, Google, Facebook, etc are examples of real captilism. They created a product everyone wanted with ingenuity.
They should outright tax the crony capitalism companies 100% and they should leave the tax rate at 0 for the real capitalism companies. Unfortunately there is a push and pull to put everyone in these groups into the same tax bracket because they are making money. I see why the democrats and republicans are so split on this notion. The democrats see people getting rich off of BS loopholes and want those rich people to share what they effectively stole from every tax payer and the rich that made money legitametly don’t want to be taxed because they will have to kill jobs and won’t be able to compete as well at a higher tax rate.
The democratic position’s flaw is that they want to expand the GOV power which will eventually expand GOV contracts to the crony capitalism crew. This will reduce the competitveness of other businesses as regulations are added because the democrats feel they are getting ripped off and need more taxes. It’s quite a trap.
I’m not defending the republicans either, just explaining why the democrat mentality is flawed.[/quote]
Ha ha ha… Facebook isn’t example of crony capitalism/??
Do you really think facebook, zynga, linkedin, angie’s list, groupon are really worth billions in valuation by itself and had no intervention from i-Banks that have pumped and pumped these companies to astronomical valuations, with the intent of trying to convince people like you to purchase shares in these companies so that they and their traders can’t make a killing?
You’re serious, right? You’re serious that groupon, which is bleeding red, and has no shot at being profitable is worth 15billion, essentially worth more than Motorola Mobility all by itself without any of this so called “crony capitalism” that you rail against.
And before you give me a lecture about your mba qualifications, and your thesis, yada yada yada, a good portion of my relatives work as i-Bankers, have underwritten a lot some of these IPOS, and for that matter are currently on the sell side of for these i-Banks to pump up these companies.
All these dreams of making riches in “stock” an “ipo” is basically a desire to support the very system that you and a lot of other folks who depend on those 401k accounts/etc railing against. That’s why I find it really ironic that people would slam wall street at yet have such interest at owning 401k/stock/stock options/etc… The only difference, I suspect, is really what side of the fence you happen to be on at any time… The side that the ibank happens to be pumping or the side of the fence that the ibank happens to be dumping…
