Wall Streeters should have to sacrifice too

by: seascraper

Mon Sep 17, 2012 at 21:13:02 PM EDT

Obama says those doing well on Wall Street should pay higher taxes on their gains. Romney basically says they should keep the money. But the investor class is doing well under Obama and Bernanke, using Q.E. to boost stock prices even while it attacks the middle class with boosted oil prices.

Here it's appropriate to quote my guru Jude Wanniski on the way the floating dollar works for those at the very top of the pyramid:

...the elites who benefit from an unstable money still represent a powerful force for continuance of that instability. Just as there is an enormous industry in the United States devoted to grappling with the complexities of the federal and state tax codes, there is an industry devoted to the world of monetary instability. The entire financial services industry is geared in one way or another to earn its way by guiding the commercial world at home and abroad through the choppy waters of dollar fluctuations. With a gold dollar once again fixed in the galaxy, most of these costly functions would be unnecessary and would soon disappear.
(from "The Gold Polaris"
http://www.polyconomics.com/in...
quoted by Ralph Benko in his essay "A Golden Age"
http://www.forbes.com/sites/ra... )

It would be crude to suggest that Romney go Sister Souljah on Wall Street, but at the very least we deserve some explanation on how the economy they hope to bring about will not simply re-empower the revolving door between Wall Street and Washington to enrich themselves and destroy their enemies in the middle class.

I suggest that the theme be a return to true investment in building companies. Wall Street will no longer be able to make the profits first as they are doing in the age of Quantitative Easing. They got through the 90s and early 2000s by letting the average joe in on some part of the pump and dump profit scheme. If the retirees are going to have to give up easy money, then the Wall Streeters should too.