Most average folks are toiling away at so many jobs to make ends meet these days all they have time for is work, but did you know only 50 U.S. companies have been dry humping roughly $1 trillion in hoarded overseas Benjamins the whole time you’ve been catching a few z’s between swing shifts while your kids dump too much cereal in their bowls and the T.V. blares too loud? That stinks as bad as one of Mr. Franklin’s legendary air baths.
While you ride the bus back and forth from your third job so you can afford school clothes for your kids and maybe have enough left over at the end of the month to see a movie or get your hair done, nearly half of that trillion gathering dust in some cloaked and distant bank account is made up by merely five of those 50 companies – Apple, Google, Microsoft, Cisco and Pfizer. Together, they’ve made a tuffet out of sitting on some $439 billion. That’s on the north side of a quarter of the entire $1.73 trillion indefinitely shoved into the magical corporate bra, according to Moody’s Investor Services. Apple alone is responsible for stashing over one-tenth of the trillion-plus in its gym sock.
It’s tough to discern whether corporate paranoia or unfathomable greed is to blame for such companies refraining from spending even a bit of their gold dust or greenback residue in such an unprecedented economy. Are taxes really that scary? We pay ours every year, don’t we? And we make it on too little pay as we work up the courage to beg for a few more scrapes of cheddar, too. Why can’t they? Why should we struggle with two and three jobs, and give up time with our children, just to survive while others sit on literally billions, nearly trillions of dollars, some of which they slyly avoid paying taxes on, too?
Analysis by Moody’s pointed to a 4 percent climb over the last year in stagnant corporate money, indicating either a reluctance to spend or an increase in profit so quick and immense that money started to pile up.
Moody’s Richard Lane stated:
There has been little progress toward corporate tax reform that would incentivize US companies to permanently repatriate funds held overseas.
So long as the U.S. tax code is structured the way it is, there is no reason any one of the 50 companies mentioned would consider putting its stagnant, hoarded money into play on American soil again.
U.S. equity strategist for JPMorgan, Dubravko Lakos-Bujas, stated:
We believe US corporates continue to grow earnings at a high-single-digit rate with increasing corporate actions including higher buyback and M&A activity with or without repatriated cash.
Meaning these companies make a killing either way, no matter what. So much profit started accumulating so quickly that money just began to pile up – wasn’t that one of the possibilities suggested earlier?
If you read history you’ll find it’s all the same. These are the projected tracks of a pattern long set in motion. Fortunately, we have the blueprints from past experience to recognize the economic inequality present today, as well as the driving force behind it, because history has shown us the nature of capitalism time and again.
The wealth gap has become too vast. Discrepancies like families working four, five jobs between partners to make ends meet while others live at heights of decadence rarely seen before in American history, only underline that reality all the more. It’s time the workers of the world get their due. Why not start right here in America?
Featured image: via independent.co.uk/