Wednesday, April 13, 2011

What Happened to Quid Pro Quo?

The concept of quid pro quo means an equal exchange or substitution. In common parlance, it's the same as "I'll scratch your back if you'll scratch mine." One of the ways this plays out on the national stage is that people who put things into the system are afforded a type of insurance if things go wrong.

For example, most full-time wage earners pay a small amount per paycheck into an unemployment fund. If that worker later loses their job -- within certain parameters -- they get to collect unemployment payments. Medicare and Social Security work along these same lines. We put money in and later we receive the benefits.

That's the way our system used to work. Proposals are now on the table to change drastically the dynamics of Medicare and Social Security. But the part of the equation that really raises my hackles are the bailouts Congress has passed to provide backup to corporations that have figured out how to avoid paying corporate income taxes (wealthy corporations like GE & AIG).

Several web sites and blogs recently have listed a number of major corporations who have paid little, if any, corporate income tax for several years and more than a few who have received significant rebates and refunds. Many of these same corporations were the recipients of TARP and other federal funds.

What it boils down to is that you and I must pay in to get something back, but these big dogs don't need to pay in to receive lavish benefits. It's like handing them an inexhaustible debit card so they can dip into your and my checking accounts anytime they feel like it and they feel like it quite often!

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