(Editor’s note: in all fairness, the GS initiative does represent a fundamental shift away from the Friedman doctrine of amoral capitalism.)
Money does not represent gold, solver, or oil. Money represents human productivity – yours and mine. Goldman Sachs is about to award the greatest ANNUAL payout for its employees – over 700,000 dollars EACH.
The words “money” and “productivity” should be interchangeable. So, what exactly did Goldman Sachs produce in order to amass such astonishing amounts of “money?” Where is the corresponding astonishing productivity?
The line of fire is quite obvious; the productivity is really “future” productivity in the form of debt – yours and mine.
WSJ: Some of the largest shareholders in Goldman Sachs Group Inc. have urged the Wall Street firm to reduce the size of its bonus pool, arguing that it should pass along more of its blockbuster earnings to investors, according to people familiar with the situation.
Uhhmmm…15% of the shares are owned by the Goldman employees – sounds like the 2nd tier of the pyramid are getting anxious. Like a street gang, they battle for a piece of the turf. Perhaps Goldman should do something for the 3rd tier too.
Joseph Palermo Writes: It’s truly touching that Goldman Sachs’ CEO Lloyd Blankfein, who recently said that his too-big-to-fail, Fed-backed holding company is doing “God’s work,” has offered a mea culpa (of sorts) for his firm’s past sins. Our beneficent overlords at Goldman Sachs promise to bestow upon small business a boon of $500 million. This generous sum is about 3 percent of the $16.7 billion that Goldman has set aside for its employees this year — a year of expected record-breaking profits on Wall Street.
“Small Business” must also include of the high-powered international PR firm, Brunswick, to make sure every American knows of this “Good Deed”. Goldman spent more on touting their benevolence than most Americans earn in a life time. Goldman pulled out of the financial tailspin by an improved market (= game of your productivity) and by muscling out weaker competitors (companies less competent at gaming your productivity). So they pass 500 Million dollars down to keep the 3rd Tier of the Pyramid inflated.
Farther down on 4th tier of pyramid, the stockholders of America – every man woman and child in the US – will get a warm and fuzzy message from the “Sage of Omaha” that good deeds are coming, but only get their DNA etched with the oppression of new debt. People have no choice but to try to be more productive in order to support the Ponzi Scheme that keeps them warm – and they are killing themselves to do it.
Seriously, when are the American people going to wake up to such blatant criminal activity? It’s like we just open the door, show them to the kitchen and go sit down on the couch while we watch them haul away all the nourishment. The next time they come, they will be hauling us away and taking the house. They also tell us that health insurance is bad because it rewards those who are not productive (i.e., the sick) – you are not worth anything to them anymore.
There is a way around this. The Next Economic Paradigm is an alternate financial system that is constructed exactly the same way as the current financial system except that it introduces a currency that is backed by real productivity – yours and mine. Let them play their games with their own productivity, not ours.