02-18 Politically Incorrect Daily

Political Memes and Funny Pictures

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Social Media Posts of the Day

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Quote of the Day

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Message of the Day

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Those Eeeeeeevil Oil Companies

Once again the Divider-in-Chief is trying to slip in another tax increase while focusing hatred away from the government by attacking a convenient opponent–oil companies. He cites their “obscene” recent profits while pushing for a quadrupling of his new tax just passed in January on stock buybacks. As usual, he is taking advantage of economic illiteracy of much of the public to hit 401k’s, the poor, and middle class–all while increasing the coffers of his Ruling Class buddies. Stock buybacks are simply a way to distribute profits to shareholders by increasing Earnings Per Share (and therefore the stock price) as opposed to cash dividends. Whether it’s dividend taxes or capital gains taxes, the shareholders pay either way. The difference is that it gives companies financial flexibility to manage the stability of the balance sheet and protect the regular cash dividends that millions of Americans (most notably retirees) depend.

Notice also that his attacks are always on politically advantageous opponents rather than BY FAR the biggest examples of “obscene” profits and stock buybacks–Big Tech! Exxon and Chevron put together are about 1/3 the size of Apple. The profits & buybacks of all the oil companies combined the past 10 years are a tiny fraction of that in any of the top tech companies–Apple, Microsoft, and Google. Have you ever in your life heard Biden attack these companies? Why? Obviously, they are joined at the hip with the Democrat party, while oil companies generally lean right and provide an easy target to misdirect government hatred.

In the end, government interference & tax increases will do what they always do–create more inefficiences in the market while creating unintended consequences, as citizens & corporations simply adjust their behavior to get around the latest stupid change.

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02-13 Politically Incorrect Daily

Random Thought of the Day

RINO Marco Rubio is now joining Bernie Sanders in attacking corporate stock buybacks. Stock buybacks are a simple way to return cash to shareholders in a way that improves future returns more than dividends. If a company buys back 5 percent of its stock, earnings per share immediately increases by slightly more than 5 percent, and future earnings are spread among a smaller amount of shares. Warren Buffett, who has built a $100 billion fortune from nothing, is one of the biggest proponents of timely buybacks. When government imposes higher corporate taxes, attacks buybacks, increases regulation, or takes other anti-capitalism measures, it stifles the ability of stockholders to earn decent returns. That doesn’t just affect the 1 percenters. It also affects anyone who directly or indirectly owns stock, including 401k’s, IRA’s, life insurance policies, pensions, college 529 plans, and so on. In America, even lower income individuals can become millionaires by discipline savings and stock market investing. By detracting from the ability of corporations to make money, Bernie, Marco, and other doofuses do nothing more than keep the lower/middle income classes from ever advancing.

Political Memes and Funny Pictures

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Taxes Are a Greater Burden Than You Realize

1 dollar double for 20 years millionaire taxed at 28 percent 71 thousand

Quote of the Day

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Tweet of the Day

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