PART TWO OF EXPOSING BUFFETT
How The Government HOSES You To Help The Insanely Rich
Start wartching at the 1:15 mark. Buffett has more than 30 years to pay back half the loan and the whole enhcilada is interest-free courtesy of you and me.
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David Cay Johnston, Author and Pulitzer Prize Winner
The problem starts with government subsidies, says Johnston. States are spending around $70 billion on government subsidies, he estimates. That doesn't include the hundreds of billions more doled out in federal subsidies.
"Is that capitalism?," he complains. "Go compete in a competitive arena. Don't go to Washington and say 'give me money' either by saying 'I don't have to pay taxes' or forcing other people to pay taxes that go to me. Go earn your money in the marketplace."
What's even more striking is that many of these unfair advantages are given to the biggest political contributors. The Wall Street bailouts are a perfect example.
"There's been a massive turnover of money to people who didn't have to face the consequences of the market," Johnston says. "Goldman Sachs got its bad bets paid off at 100 cents on the dollar. I’ve never seen the government do that for me."
Here's a great read on how Buffett was saved by the bailout: