02.04.2013 Views

Tuesday, February 7, 2012 Text Size • Home • Sitemap • Start Here ...

Tuesday, February 7, 2012 Text Size • Home • Sitemap • Start Here ...

Tuesday, February 7, 2012 Text Size • Home • Sitemap • Start Here ...

SHOW MORE
SHOW LESS

You also want an ePaper? Increase the reach of your titles

YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.

The real money of ordinary people holding accounts in those banks could have been protected for much<br />

less than the cost of even the first public TARP bailout.<br />

Just to prove the point, let’s go to billshrink.com and get some provable statistics:<br />

http://www.billshrink.com/blog/10053/how-much-do-american-save/<br />

The average American household income was 50,000 dollars in 2010. The overall tax rate is 19<br />

percent, leaving $40,500 in disposable income.<br />

Overall, Americans spend an incredible 94 percent of their disposable income. The remaining 6 percent<br />

is saved in the bank.<br />

This adds up to a mere $2,400 dollars per household. This is not a guess, but a provable statistic.<br />

With 114,825,428 households in the US, it would only take one payment of 275 billion, 581 million<br />

dollars to guarantee the savings of all American citizens.<br />

The Fed’s secret bailout of 26 trillion dollars was nearly 100 times greater than that.<br />

WHAT ABOUT THE STOCK MARKET?<br />

Obviously the money being held in the stock market is a lot more than 275 billion dollars – but how<br />

much is there, exactly?<br />

We know this figure. All you have to do is add up the value of all the companies on the New York<br />

Stock Exchange.<br />

This is called “total market capitalization” or the “Total Market Index.” As of this writing, it is just over<br />

13 trillion dollars:<br />

http://www.gurufocus.com/stock-market-valuations.php<br />

As of today (12/24/11), the Total Market Index is at $ 13,197.2 billion, which is about 88% of<br />

the last reported GDP.<br />

This means that even if every single company in the world were to completely stop doing business --<br />

abandoning their offices, factories, equipment and services – we could still guarantee every stock on<br />

Earth for half the cost of the $26 trillion dollars in interest-free ‘bailout’ loans handed out by the<br />

Fed.<br />

Obviously, the offices, factories, equipment, inventory and 95% of the employees could still be used<br />

after breaking up these monopolies and arresting the top conspirators. Without the toxic profit losses<br />

due to such incredible theft, these companies would probably thrive like never before.<br />

The idea that any company’s entire value to its shareholders would simply disappear in the face of a

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!