By Matt Egan “Senator Tammy Baldwin plans to introduce a bill on Thursday that would prohibit companies from repurchasing their shares on the open market, Baldwin told CNNMoney.”… [Click HERE to read the full article]
AIR IMPACT
Recognition of AIR research, opinions, and people in the media and elsewhere
Why share buybacks are a red flag
By John Stepek “US president Donald Trump’s corporation tax cuts have already had one very clear impact companies are planning to spend a significant chunk of their windfall on ramping up purchases of their own shares. Last month, notes Justin…
The big and possibly dumb buyback boom
By Justin Fox “Buybacks are really popular right now! In February, according to research firm TrimTabs, U.S. corporations announced $153.7 billion in share repurchases — a new one-month record. Investment strategists at JPMorgan Chase & Co. estimate that buybacks will total more than $800 billion this year, which would also be a…
Parasitism and ‘tax reform’: Trump’s corporate tax cuts fuel stock buybacks, not investment
By Gabriel Black “In the 10-plus weeks since President Donald Trump signed into law his $1.5 trillion tax cut for corporations and the rich, US companies have funneled the vast bulk of their windfalls into stock buybacks rather than using…
#GOPTAXSCAM delivers billions to corporate executives and wealthy shareholders while middle-class workers are left behind
By Senate Democrats “Financial Times: Trump Tax Cuts Herald $1tn Bonanza For US Investors. “US companies are on track this year to return a record $1tn to shareholders, as Donald Trump’s tax cuts prompt boards to boost buybacks and dividends at…
Are stock buybacks deepening America’s inequality
By Matt Egan “Since 2008, companies in the United States have spent a stunning $5.1 trillion to buy back their own stock, according to Birinyi Associates. Shareholders love buybacks, because they boost stock prices by making shares scarcer.”… [Click HERE…
Want to destroy the power of workers while sending more money to the rich?
By Ian Reifowitz “There’s no real difference between Democrats on Republicans on economic issues.” That’s a phrase you might have heard bandied about in the run-up to the 2016 presidential election—or even since, if you’re talking to the, er, right people.”……
Even McKinsey gets it: High wages improve economic performance
By Marshall Auerback “After a year-long analysis of seven developed countries and six sectors,” global management consultancy company McKinsey has “concluded that demand matters for productivity growth and that increasing demand is key to restarting growth across advanced economies.” Which…
What’s a stock buyback?
By Alicia Adamczyk “If you’ve been paying attention to corporate investing strategies the past few decades, then what companies are doing now with their extra money from the Republican tax plan is no surprise. A handful have given one-time bonuses…
New tax law benefiting shareholders more than workers so far
By Arthur Delaney “Since President Donald Trump signed the Republican tax bill in December, hundreds of retail companies have announced employee bonuses totaling more than $3 billion, which Republicans have said proves them right that the new law benefits regular Americans.”… [Click HERE to…
