IRS Wakes Up to Private Equity Scam

Readers of Naked Capitalism may recall past mention of a common tax practice in the private equity (PE) industry known as a “management fee waiver.” This tax maneuver first got media attention during the Romney presidential campaign. Secret Bain Capital files released on Gawker last summer revealed that Bain had “waived” over a billion dollars […]

U.S. Federal Receipts and Expenditures

I was interested to take a look at the trends in receipts and expenditures of the U.S. federal government over the last 40 years. The top panel in the graph below plots federal expenditures as a percentage of GDP since 1972. There were a few years when this fell below 20%, but it has averaged […]

Paul Ryan’s Faux Populism

On Friday, Paul Ryan, the presumptive Republican vice-presidential nominee, made the most populist speech of this campaign season. “It’s the people who are politically connected, it’s the people who have access to Washington that get the breaks,” he told an enthusiastic crowd of over 2,000 at a high school gym in Virginia. “Well, no more. […]

Where Are You in the Economic Strata?

Its a summer Friday, which means that not a lot is going on. Indulge me while I go off on a bit of a digression. Why? I have been thinking about various groups of people and how they benefit (or not) from society. What their participation levels are in government, the economy, and local communities. It […]