The Daily Business Digest

Barack Obama has already seen his popularity rating going down drastically in the last two months, due to continuing rise in unemployment coupled with no clear signs of recovery. And there is a bigger enemy waiting in the wings, to hit Obama’s popularity further in the coming weeks.

The big companies of Wall street, like Goldman Sachs and Morgan Stanley were bailed out by Obama’s administration under the guise that these companies are too big to fall. Obama used billions of dollars of tax payer’s money to bail these companies out.
These companies ended up paying the bonus for last year, under the pretext these bonuses were part of the salary packages agreed at the beginning of the year. Obama administration at the end of the day was never able to stop these companies from making billions of bonus payouts to their employees, in spite of being on ventilator support with taxpayer’s money.
Now, these companies have made huge profits in the last six months of this year, and have already announced bonus payouts which are totaling over 130 billion dollars. Again Obama does not have any tool in place to stop this payment, which is an indirect way of paying out these inefficient and reckless employees , at the cost of taxpayer’s money.
Ideally, Obama must have allowed one or two more of these companies to go under, and used that as a reason for bringing serious reforms for the industry. But he has lost all that opportunity and now he is absolutely at the receiving end.
Wall street companies have always been merciless to the wrong policies of the government, and they are expected to continue with that attitude.
While just a million people might receive over 130 billion dollars of bonus money, over 57 million social security benefit receivers would receive just 14 billion dollars of one time benefit. So Obama is all set to be pulled down by these 57 million people plus millions of people who cannot digest this disparity.