In the US, we spend far too much on welfare. Our welfare system is riddled with fraud and abuse. Lest you think that someone laced my catnip with InsaniTEA, I am not referring to the safety net necessary to help poor Americans. That’s a relatively insignificant part of our welfare system. Most welfare goes to greedy corporations, who use it to enrich the 1%.
Most of us are aware that the government gives mountains of cash to powerful corporations in the form of tax breaks, grants, loans and subsidies–what some have called "corporate welfare." However, little has been revealed about exactly how much money Washington is forking over to mega businesses.
Until now.
A new venture called Open the Books, based in Illinois, was founded with a mission to bring transparency to how the federal budget is spent. And what they found is shocking: between 2000 and 2012, the top Fortune 100 companies received $1.2 trillion from the government. That doesn’t include all the billions of dollars doled out to housing, auto and banking enterprises in 2008-2009, nor does it include ethanol subsidies to agribusiness or tax breaks for wind turbine makers.
What Open the Book’s forthcoming report does reveal is that the most valuable contracts between the government and private firms were for military procrument [sic] deals, including Lockheed Martin ($392 billion), General Dynamics ($170 billion), and United Technologies ($73 billion).
After military contractors, $21.8 billion was granted out to corporate recipients in the form of direct subsidies; literally transfers of cash from the pockets of Americans to major corporations. The biggest winners were General Electric (GE) ($380 million), followed by General Motors (GM) ($370 million), Boeing (BA) ($264 million), ADM ($174 million) and United Technologies ($160 million)… [emphasis added]
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There’s a lot more valuable information here. Click through, please.
The next time Republicans tell you we need welfare reform, agree with them. Then ask them which wasteful and unneeded military contracts and which corporate subsidies should ne cut.
15 Responses to “Time for Welfare Reform”
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First, our political leadership has to wake up and see how this money they very willingly give to corporations affects most Americans. The pittance they give to the poor is nothing. That is not going to happen any time soon. Even so called Democrats are guilty of condoning Corporate welfare because they benefit in the way of political contributions. Take a look at NY's Governor Cuomo(D) defending Ken Langone because he thinks he'll get tons of money supporting his run for the Presidency. Langone's the Home Depot bigwig who made the comparison to Hitler remarks recently. http://www.dailykos.com/story/2014/03/19/1285879/-If-appalling-Hitler-comparisons-offend-you-this-billionaire-is-sorry-ish?detail=email
Could I beg your indulgence a moment, and could you use your imagination to create in your mind's eye the following words appearing in mid-air in two foot high neon bright orange letters –
HOW MUCH???!!!!
Dear Heaven that amount of money is obscene – and surely far exceeds any taxes they pay! I need a lie-down!
[….]
Military contractors, oil companies and banks are the biggest 'welfare queens' around.
Most of us are aware that the government gives mountains of cash to powerful corporations in the form of tax breaks, grants, loans and subsidies–what some have called "corporate welfare." However, little has been revealed about exactly how much money Washington is forking over to mega businesses.
Until now.
A new venture called Open the Books, based in Illinois, was founded with a mission to bring transparency to how the federal budget is spent. And what they found is shocking: between 2000 and 2012, the top Fortune 100 companies received $1.2 trillion from the government. That doesn't include all the billions of dollars doled out to housing, auto and banking enterprises in 2008-2009, nor does it include ethanol subsidies to agribusiness or tax breaks for wind turbine makers.
What Open the Book's forthcoming report does reveal is that the most valuable contracts between the government and private firms were for military procrument deals, including Lockheed Martin ($392 billion), General Dynamics ($170 billion), and United Technologies ($73 billion).
After military contractors, $21.8 billion was granted out to corporate recipients in the form of direct subsidies; literally transfers of cash from the pockets of Americans to major corporations. The biggest winners were General Electric (GE) ($380 million), followed by General Motors (GM) ($370 million), Boeing (BA) ($264 million), ADM ($174 million) and United Technologies ($160 million).
$8.5 billion in federally subsidized loans were also doled out to giant oil companies Chevron and Exxon Mobile, and $1 billion went directly to massive agri-business Archer Daniels Midland.
Of course, the banks also got their piece of the pie: $10 billion in federal insurance went to Bank of America, Citigroup, Wells Fargo, JPMorgan Chase, not including any of the 2008 bailout money. Walmart enjoyed its share of federal insurance backing as well.
By: Aaron Cantu | Truth Out | Alternet | Report |
http://www.care2.com/news/member/451276626/3754383
http://truth-out.org/news/item/22577-new-report-fortune-100-companies-have-received-12-trillion-in-corporate-welfare-recently
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And….just how does this help our economy grow, or provide jobs? It does not.
Thanks TC – sorry this is so long, but the author said it much better than I.
Sorry Akismet thought this was spam, Kitty. I salvaved it. Thanks.
Not only did the government give billions in direct subsidies to these corps, many of them paid little or no taxes. We are getting screwed from both ends.
Certainly this is well said – probably never better – and gives us lots of ammunition with which to attempt to educate others. I trust it is not news to anyone here, though.
America will never get back on its feet with all the frebee handouts. Time to stop.
The article is completely right, and its time to cutback on these corporations, we just make them richer & richer. The salaries of the higher ups is just ridiculous. Time for reform.
Even welfare for the needed needs reform, to much fraud. I bet almost half don't really need it. Also our illegals increase the systems expenses.
Then we can look at Foreign-Aid all the handouts we give. Needs reform.
Its time to put away the checkbook Mr. President & Congress. Time to stop spending our tax dollars on everyone else and take care of ourselves. I don't see any other Country give as much as we do. Needs Reform.
AB, I'm afraid you're basing a lot of this on Republican propaganda that isn't lies.
I hope you aren't counting Social Security and Medicare. They are not Welfare. They are earneds entitlements, because we pay all our lives for those benefits.
SNAP is < 1% fraud. Virtually all, whio receive assistance, do need it. Eliminating assistance to the poor would put a small dent in the deficit. Eliminating corporate welfare would almost wipe it out.
Military foreign aid is jus backhanded corporate welfare, because it is paid in credits to spend on US weapons. Humanitarian foreign aid is less than 1/1000th of 1% of our budget, Of alkl western nations, the USW gives a smaller portion of goods and services produces than any other 1st world vountry.
Sorry your email got trashed, very frustrating for you.
Corporate welfare drives Congress. MOst of them would not be in office were it not for all their corporate contributions. Sadly, I see no change in this until the American people wake up, get off their duffs, and vote these cronies out of office, then stay alert and let your representatives and senators know that you are watching them..
You said: " In the US, we spend far too much on welfare. " and I said: "Right, corporate welfare."
I didn't have to read any further, but I did. I wonder where corporations like Walfart stand since they do not pay their employees a living wage and must rely on SNAP. American taxpayers are paying for SNAP so in essence they are subsidising Walfart.
Sunsidizing Wal-Farts payroll is not included in the $1.2 trillion.
. . . but it should be!
Thanks averyone. Disgusting, isn't it?
Fixed Market not Free Market… Tax payer subsidizes for Oil companies? WTF