In the United States, theft is perfectly legal as long as the process of the theft takes more than one step. If it takes a little abstract thinking and is two or three steps more than just pointing a gun at somebody and demanding money, no one is ever going to know a crime is being committed. That is unless some genius decides the time is right to discover some wrongdoing.
Of course corporate buybacks are nothing more stealing. Corporate buybacks provide corporate insiders with the fastest possible way to make the most money in the shortest period of time. Forget making money with business operations. Just use free money, provided at the expense of ordinary citizens, have the corporation buy back its own stock, run the price up, exercise stock options, sell any other stock you own at an elevated price and get ready to do it again.
I have been writing about this issue since 2006. As you can see, it doesn’t take a genius to see what corporate buybacks are really about and why they take place. American citizens do not write checks to cover their losses from these types of things. The geniuses at the Securities and Exchange commission know these things. So do the geniuses on the Federal Reserve Open Market Committee. The public isn’t paying attention. It is highly significant that a newly appointed Securities And Exchange Commission member has decided to be honest. They all know the truth.
The truth is a hard sell. Fantasy Free Economics gains readers one at a time. Major search engines simply do not list blogs which disagree with their political agenda. As long as folks share the link to this blog and others speaking out against the grain, the truth will at least trickle into the public consciousness.
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