Skip to main content


After causing the 2008 (and, arguably the 2020) financial crises, moderate- and low-income citizens bailed out large financial institutions. They did so again in 2019 and 2020. 

When all individual transactions are summed across all Federal Reserve credit facilities, a total of $29 trillion dollars was spent, including $16.41 trillion to 14 larger financial institutions. This includes bailing out Goldman Sachs, a firm with a record of unethical behavior:

Now, THIS was truly unfair. Forgiving a small portion of student loans is not.

As to the claim that somehow bailing out banks (and companies via PPP loans) is required, this is false. In 2008 and 2020, “gains..were captured disproportionately by the recipient banks” and their management in the form of bonus compensation.  95% of the benefit went to people making over $250,000 a year. They “ended up getting a subsidy to the tune of” trillions of dollars. 

Likewise, any gains from PPP loan forgiveness went straight into the pocket of business owners, who, instead of losing all of their investment, were able to retain all or some portion of the value of their business. Most (if not all) workers did not share directly in this ownership value. 

The student loan forgiveness program will have more direct impact on low and middle income persons. It will improve living standards by increasing borrower disposable income, credit ratings, and home buying. Most importantly, the program will not increase inflation (given the small size of each loan payment) and will generally reduce anxiety. This benefit to society is also a benefit to those who saved to pay for college and for the majority of Americans who didn't go to college. Rather than being greedy and selfish, note that 90% of the debt relief goes to people making under $75,000 a year.

Popular posts from this blog

Projected Impact of Gun Laws on Corporate Profits in Texas

More Fortune 500 companies are located in Texas than in any other state. Texas successfully used low taxes and minimal regulations as bait to recruit companies like Tesla and Oracle. The state promoted these “advantages” in ads highlighting their “free-market” environment and criticizing the "tax and spend policies of liberal leadership" in Democrat-run states. Four million people migrated to Texas over the past ten years. Our economic models predict a reversal, however. State of Texas corporations on the Fortune 1000 list generate $2.2 trillion in revenue, $158 billion in profit. They have a market value of $3.8 trillion and employ 2.5 million people nationwide. We continue to believe this increased corporate presence in Texas imposes a tax on the nation as a whole. Texas allows anyone 21 or older to carry handguns without training or licenses, and maintains lower gun purchase age limits. Beyond the recent abortion bill, which allows people to sue those who "aid and abe

China Creates a Digital Currency. Joseph LaRosa, Impact Investing Intern, The Ohio State University.

Cryptocurrencies surged in popularity recently due to their decentralized nature, transaction speed, and security. Governments around the world have taken note of this trend and are beginning to rollout nationally backed digital currencies. The first major nation to embark on this journey is China, which announced the Digital Yuan (DY). This federally controlled currency has the potential to disrupt modern financial structures and poses the largest threat to the US Dollar since the establishment of the Euro.  DY allows the Chinese government greater control over the production and circulation of currency. It also adds a means by which the Chinese government can efficiently and effectively transfer funds between citizens, banks, and government entities, all while cutting out the "middleman" in transactions.   Growing tired of a US dollar-driven world, China made a bold leap into the future, hoping to increase their global economic power. US officials have been quick to expre

IPCC report on Climate Change: Not Fair Enough

According to the Intergovernmental Panel on Climate Change (IPCC), a group of United Nations (UN) scientists, "human activity is changing the climate in unprecedented and sometimes irreversible ways." The report "warns of increasingly extreme heatwaves, droughts and flooding, and a key temperature limit being broken in just over a decade."  The report's authors claim, that "it is unequivocal and indisputable that humans are warming the planet."  This is incorrect and reflects the lack of honesty in the discussion.  We stated, on February 5, 2015, in testimony to the Norwegian Ministry of Finance ( ) and on April 22, 2015 in testimony to the Government of the United Kingdom ( ): "As the market value of environmental, social and governance factors continues to grow, companies and investment managers