What is Google's plan

Makeherhappy

Potential Star
Registered
What are they doing?

To make a really long post short, google, "google buys" and see what pops up.

Are they bringing in order?

[FRAME]http://www.theregister.co.uk/2003/09/30/google_buys_search_engine_pagerank/[/FRAME]

[FRAME]http://www.theregister.co.uk/2006/04/10/google_buys_orion/[/FRAME]

[FRAME]http://www.businessweek.com/technology/content/aug2005/tc20050817_0949_tc024.htm[/FRAME]

[FRAME]http://www.infotoday.com/newsbreaks/nb030428-1.shtml[/FRAME]
 

muckraker10021

Superstar *****
BGOL Investor
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They want to be the "ORACLE" of cyber intellectual capital. "ORACLE" as the fictional movie 'The Matrix' depicted. They are using their hyper-stock price to buy weaker players who do what they do, and more importantly what they were planning to do OR MOST IMPORTANTLY wouldn't be able to do in house as quickly as the 'weaker players' are doing now. Microsoft did the same thing as their stock price went through the hyper-growth stage. Google is doing what Microsoft was doing in the late 80's to the mid-90's, except they are doing it internationally on a scale Micro didn't do. Google is in China & India hiring the best raw talent they can find there, putting that talent through "Murder Boards" and only keeping the survivors. Pure Darwinism. The surviving talent can do quadratic equations in their sleep. These are the 'back end' geeks. The 'front end' guys don't need all that brain power. The 'front end' guys do the visual & the marketing. They pick the colors & fonts for the websites. They "sex-it-up" so consumers will use the product.
Google. Some smart peeps!!! </font>


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Google Eyes</font>
<font face="tahoma" size="4" color="#0000ff"><b>The company everyone loves knows more about you than you might realize. And that’s just for starters.</b></font>


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<b>
Issue Date: January 21 - 27, 2005

BY DAN KENNEDY</b>

IS THERE A company anywhere within these United States with a better public image than Google has? We love it. We need it. We use it — more than 200 million times a day, by some accounts. The unofficial slogan — "Don’t Be Evil" — epitomizes everything we want in a business relationship. And more often than not, Google lives up to those words.

But there is another side to Google, and it’s one that the company would just as soon you not think about. It’s what happens each and every time you look up a piece of information. An old boyfriend. A political organization you heard mentioned on television the night before. A possible vacation spot. Or maybe you’re a student trying to track down a terrorist group’s Web site for a paper you’re writing. Or a church elder who likes to look at hard-core pornography. Or you’re seeking information on how to grow your own marijuana. Who knows?

Google knows. According to Lauren Weinstein, an Internet activist and privacy expert based in Southern California, Google keeps track of every search that’s made, as well as the Internet location of the computer from which the search is taking place — and then it stores that information for possible future use. Moreover, he says, it would not be terribly difficult to trace those searches to the person who made them. That’s you and me.

Such tracking is common on the Internet, of course. Amazon.com knows what kinds of books and music you like, and it puts those products in front of your eyeballs at every opportunity. Internet-service providers such as America Online and Microsoft’s MSN collect enormous amounts of data about their customers. Same with Yahoo!, which — with personalized services such as My Yahoo! — is also more zealous than Google about trying to get its customers to sign up and thus identify themselves.

For all anyone knows, Google is handling private information more responsibly than many other corporations are. So why single out the Internet company everyone loves? For two reasons: first, it’s so ubiquitous that it’s the only online service that virtually all of us use regularly — 10, 20, 50 times a day; and second, the famously sparse user interface exudes an aura of anonymity. You don’t have to register — you’re not even asked to register — for the basic Google services we use all the time, such as searching for Web sites, news, and pictures. At Amazon, you know you’re being watched. But you might be surprised to learn that Google is watching, too.

"Google has some wonderful products. I use it all the time. I’m as dependent on it as anyone else is. But that doesn’t change anything," says Weinstein. "The ‘Google is so neat’ kind of haze that surrounds this has blinded people into failing to think one step beyond."

WEINSTEIN, THE motorcycle-riding co-founder of People for Internet Responsibility, first publicly questioned Google’s privacy practices last month with a post on his weblog (lauren.vortex.com) titled "The Dark Side of Google." Among other things, he wrote, "Google has created a growing information repository of a sort that CIA and NSA (and the old KGB) would probably envy and covet in no uncertain terms — and Google’s data is virtually without outside oversight or regulation."

Here’s how it works, according to Weinstein. Every computer attached to the Internet has something called an "Internet protocol," or IP, address, which is a string of four numbers separated by decimal points. At work, your IP address is likely that of your company’s dedicated network; it never changes, and anyone who obtained that IP address would be able to trace it back to your workplace, if not necessarily to your desk. At home, if you’re using an Internet-service provider such as AOL or EarthLink, you have what’s known as a "dynamic" IP address — that is, your IP address changes on a fairly regular basis. Still, a Google search could be traced back to you if someone knew you were using a particular IP address at a particular time — information that Google does not have, but that your Internet provider does. Someone armed with a subpoena — say, an FBI agent who’s curious about your interest in chemical warfare, or your soon-to-be-ex spouse’s divorce lawyer — could pay a visit to your Internet provider to find out who was using what IP address when. That is exactly how the music industry has busted illegal file-sharers: investigators cruise services such as KaZaA and LimeWire looking for the IP addresses of computers on which copyrighted files are available for download. After they’ve got that information, they need only pay a visit to EarthLink or wherever to match the numbers with names.

And that’s assuming you have your Web browser’s cookies turned off. You don’t, do you? Neither do I. Cookies, which are little bits of data stored within your browser that are automatically sent to Web sites that request them, provide all kinds of information about you — information that makes it extraordinarily easy to track you down. The reason Google uses cookies is perfectly benign — it’s how the service manages to tailor advertising to your interests, thus making money while you search for free. Leaving cookies turned on improves our Web-surfing experience. Many services, including Google, warn users that their sites won’t even work properly without cookies. Only a paranoid would turn them off, right? Well — maybe not.

Perhaps none of this is particularly surprising. But Weinstein offers an additional wrinkle that ought to give anyone reason to pause: he claims Google is actually storing all this stuff so that it can go back and conduct, say, market research or develop new products. Or, you know, respond to that subpoena. This struck me as truly innovative and troublesome, so I asked Weinstein how he knows this. His response: "My source on this is a former highly placed Google person whom I have met with face to face. To protect him, I have not publicly stated his name. But I am satisfied personally, having known him for many, many years. He certainly would have been in a position to know. That’s as far as I can take that, unfortunately."

Now, it wouldn’t be fair to disparage Google on the basis of anonymous information once removed. But the thing is, the company doesn’t deny it. I sent an e-mail to Andrew McLaughlin, Google’s senior policy counsel and a person who had been described to me as the company’s privacy guru, someone who’s enlightened about such issues. But rather than respond, he forwarded my e-mail to the company’s public-relations staff. After several days of polite back-and-forth, company spokesman Steve Langdon sent me an e-mail statement that I quote in its entirety: "Privacy is an issue about which Google cares very much. In all the products we develop, we pay very close attention to how the products and their features relate to user privacy and we make design decisions and policies to protect privacy. Google also provides users with information about privacy in our privacy policies that are posted on our web site."

That’s true. The most relevant part of that policy would appear to be this: "Google collects limited non-personally identifying information your browser makes available whenever you visit a website. This log information includes your Internet Protocol address, browser type, browser language, the date and time of your query and one or more cookies that may uniquely identify your browser. We use this information to operate, develop and improve our services." But claiming that your IP address and cookies are "non-personally identifying information" is, at best, a gross underestimate about what a skilled investigator could do with it.

"When you amalgamate all the results of this sort of tracking, especially if you’ve got a dedicated IP address where people can zero in on a specific household, a remarkably clear picture of who you are and what you think and what you believe" can be assembled, says Steven Rambam, a private investigator based in New York who uses online databases for much of his work. "Everything that you’re interested in and everything that your daily life is focused on can be recorded and tracked back to a particular machine." (And, as we’ve seen, even a dynamic IP address is no protection if your Internet-service provider can be compelled to turn over its records.)

Last July, for NPR’s On the Media program, Rambam demonstrated how easy it is. Within 10 minutes, he had found co-host Brooke Gladstone’s Social Security number, previous addresses, how much she’d paid for her current house, even the name of her sister. Rambam told me that he supports the idea of public information being publicly available. (One fun fact he dug up last year: liberal activist Michael Moore was registered to vote in two states, Michigan and New York. That information made its way to TheSmokingGun.com, a cornucopia of entertaining invasions of privacy.) "Frankly, I think the average person has a right to see if their nanny used to be child molester, if their tenant stiffed the previous three landlords," Rambam says. "There has to be an intelligent balance, and, frankly, I think that’s where we’re at right now."

By contrast, Rambam explains, the trouble with data collection by commercial services is that customers haven’t really consented to it. "My bugaboo," he says, "is that it needs to be consensual and not sneaky." (The Google privacy policy is not hard to find, but it’s long and doesn’t exactly make for gripping reading. Have you read it? Of course you haven’t. I have — but I hadn’t until recently, and then only for the purposes of researching this article. Nor have I read the privacy policies of other services that I use.)

Gladstone, who was on the receiving end of Rambam’s investigative efforts, told me that she felt "a kind of generalized queasiness, a kind of tightening in the pit of my stomach" to see how easy it was to dig up personal information about her. She adds, "I suppose you could go off the grid, but that’s just not the way most of us want to live. I like my credit card, I like having a cell phone, I like participating in the financial institutions to the extent that I have a mortgage. I like to partake of the fruits of our democracy. But now it’s all so easy. It isn’t that a lot of these records weren’t public before. It’s just that it’s instant and it’s global."

And that’s exactly it. You don’t want to be bothered to protect your identity. Life without privacy is seductive — first because you don’t necessarily realize how compromised your privacy has become, but second because it’s nice to visit Amazon.com and get those book recommendations tailored to your interests. It’s great to log on to AOL and see the weather forecast for your small part of the world. It’s helpful to be shown custom-delivered advertising when you search on Google.

"The dark side of Google is actually part of the light side," says Kevin Bankston, an attorney with the Electronic Frontier Foundation, in San Francisco. "All of these companies are trying to move toward trying to personalize your Internet experience and make it a better Internet experience. But that means collecting and studying an enormous amount of information about you. In many cases, consumers are willing to make that trade-off."

In other words, Orwell was wrong. Huxley was right. We’re not losing our privacy because the forces of evil and oppression are taking it away from us. We’re losing it because we’re giving it away, whether we know it or not. What we’re getting in return is stuff, convenience, information, an easier way of life. And we like it.

SEVERAL YEARS ago, a computer-privacy expert named Latanya Sweeney tracked down confidential information about former Massachusetts governor William Weld’s health from a database of state-employee insurance claims that was supposed to be anonymous. She knew he lived in Cambridge. With that as a starting point, she obtained publicly available voter-registration records, and then used those to make the match. Other electronic alchemy was involved, too, obviously, but the point is that she had no problem doing it. "Only six people had his birth date, only three were men, and he was the only one in his five-digit zip code," Sweeney told Newsweek in October 2000.

Sweeney, who is now director of the Laboratory for International Data Privacy, at Pittsburgh’s Carnegie Mellon University, did not respond to e-mails or a phone call seeking comment. (However, she has posted some very cool photos of herself on her motorcycle at privacy.cs.cmu.edu/people/sweeney. What is it about privacy activists and motorcycles?) You’ll find some pretty creepy things linked from her Web site, too. Like CameraWatch, a compilation of webcams at universities, cities, beaches, even jails. The other day I sat transfixed, manipulating a camera by long-distance as a student walked across one of the campus quads at George Washington University. Did she even have a clue that she was being watched?

According to Sweeney’s Web site, there are an estimated 10,000 such cameras in public places across the US. Cameras are catching traffic violators — and, reportedly, occasionally causing accidents, with drivers slamming on the brakes so as to avoid a roboticket. And it’s not all government and big business, not by any means. Spyware has invaded our computers, watching what we’re doing and reporting back to sleazoids unknown, or surreptitiously turning our computers into untraceable propagation machines for e-mail spam and illegal file-sharing. Combined with the data-collection activities of Google, AOL, Amazon, Yahoo!, et al., it can seem as though we have already crossed the threshold into a perpetual state of surveillance.

And it’s getting worse, all in the name of more service and greater convenience. Late last year, Google announced a new project to digitize millions of books at academic and public libraries, including 40,000 volumes at Harvard. Older books whose copyright protections have expired will be available in their entirety; newer books will offer some highlights so you can see whether they’re what you’re looking for. How great is that? Yet, soon, the books you read can be added to the personal data about you that will be available online. Take out a Google Gmail account or use Google to browse Usenet groups, and you’ll become a registered member of Google — making it that much easier to tie you to your online activities. Amazon is rolling out a service called A9.com that takes customized search to another level — but only if you register. For that matter, what about those discount cards you carry for the grocery store and the pharmacy? Sure, you save money. But there’s another kind of cost: your every purchase is tracked.

In such a world, the notorious Section 215 of the USA Patriot Act almost seems obsolete — or, maybe, supercharged by initiatives being undertaken by private industry. Section 215, as you may recall, allows government agents investigating terrorism to conduct secret searches of records from libraries, bookstores, doctors’ offices, and the like with minimal judicial oversight. It won’t be too long before Google and Amazon will have amassed exactly what the feds are looking for. And if there is another major terrorist attack, you can be sure that investigators will want to know who’s been reading what books online — information that would be impossible to obtain, obviously, if it involved cash-paying customers in the non-virtual world. Now, granted, if there were, say, a ricin attack in the Washington subway system, it would be hard to argue that government agents should not have access to any records that might help them find the perpetrators. The point is that ever-improving technology is making such clashes between public safety and civil liberties all the more likely to take place.

Ari Schwartz is associate director of the Washington-based Center for Technology and Democracy, which advocates for a whole range of privacy protections. For example: under current law, Web-based e-mail services such as Gmail or Microsoft’s Hotmail, which store your mail on a remote server, are less protected from the prying eyes of the government than e-mail that you download to your own computer, as is generally the case if you’re using a program such as Microsoft Outlook, Entourage, or Eudora. Schwartz’s organization wants to eliminate those anomalies. But what’s essential, Schwartz says, is for Congress to take a more comprehensive approach to privacy. "At some point," he says, "we need to create something that’s more general so that we don’t have to write a new privacy law for every new technology that comes along."

How likely is that to happen in an era dominated by Republicans? Despite the party’s pro-business leanings, Schwartz is reasonably optimistic. For instance, the new chair of the House Committee on Energy and Commerce is Representative Joe Barton, a Texas Republican who, along with Massachusetts Democrat Ed Markey, is a co-chair of the Congressional Privacy Caucus. Barton’s predecessor on Energy and Commerce, former congressman Billy Tauzin, a Louisiana Republican, was hostile to privacy concerns, in Schwartz’s view. And Schwartz believes that Barton’s counterpart on the Senate side, Alaska Republican Ted Stevens, could prove to be a friend of privacy as well.

Markey shares Schwartz’s optimism, saying that polls show more than 80 percent of Americans are concerned about privacy, a finding that crosses partisan lines. He points to past accomplishments, such as an amendment to the Child Online Protection Act that prohibits the use of information gathered from children for marketing purposes, as a sign that Republicans and Democrats may be able to work together. Markey’s goal: legislation that would mandate greater disclosure of data-collection efforts, as well as the right to opt out. As for Google and companies with similar practices, Markey would like to see a law mandating that personal information be destroyed after a certain length of time, as is already the case with cable companies.

"I think there is a chance this year," Markey told me. "The more people learn about any potential privacy invasion, the greater the likelihood that Congress, as a stimulus-response organism, will do something about it."

Still, it would be wise not to hold your breath. Business interests, Markey says, do not want these protections. And neither the White House nor Republican congressional leaders are likely to stand up to them.

POKE AROUND Google, and you’ll run into an endless list of superlatives. As of this past Monday, the service boasted that it was searching 8,058,044,651 Web pages. There are encomiums to its founders, Sergey Brin and Larry Page, who thought up the math behind Google as Stanford graduate students in the mid 1990s. There is information for investors — a reminder that, last year, Google’s IPO was the biggest Internet stock-market sensation since the dot-com crash of a few years ago. Last Friday, Google’s stock closed at $199.97 — quite a leap from its $100 opening in August.

Google, like the Internet, has made our lives easier and arguably better. For many of us, it’s impossible to imagine having to return to a time when we couldn’t find almost any piece of information instantaneously. But we’re paying a price for that. We’re paying with our privacy, our identity. For someone determined to look, there are no secrets anymore.

Sometime late tonight, someone, somewhere, will visit Google or Yahoo! or MSN or whatever and start searching for something he hopes no one will ever find out about. But he is being watched. Not by humans. Not in such a way that his search can be automatically traced back to him. Still, it’s all being recorded, and the pieces are there, so that someday, someone with the necessary incentive, skill, and legal authority can put them all together and figure out who this person is. Perhaps a life will be saved. Perhaps a life will be ruined — tragically, unnecessarily. But that’s the nature of the new world in which we live.

It’s a chilling reality.

Dan Kennedy can be reached at dkennedy@phx.com. Read his Media Log at BostonPhoenix.com.
 

BookerTee

Potential Star
Registered
good stuff. read a great article (think it was linked from cnn.com) that none of googles many full or beta apps have really made any waves. Seems like theyre going the "mature" company route of growing through acquisitions. Its like " Our Google video hasn't done much so lets buy video leader YouTube, etc."
Can't knock the hustle, as long as they integrate acquisitions well. When your market cap is $125 billion(?), $1.6 bill for YouTube aint THAT much, although I think its still way overpriced. You're talking over 3X the price of MySpace.
 

thismybgolname

Rising Star
OG Investor
Google is just setting up the foundation for what will be the backbone of how information is delivered to people and devices within the next 10-20 years.

Whoever can controls and dephichers information will set themselves away from the rest of the pack.

Lets see what MS and yahoo do next.
 

nittie

Star
Registered
True story. About a year ago some of us were on the Business Board talking about starting a Black owned Distribution Company. I laid down how we could take the power of cyberspace and use it in our own communities, change the game and get rich doing it. Now I hear about Will Smith, Shaq and some other peoples starting a Black owned Distribution Company and what's really fucked up about it is their plan sounds almost exactly like what we were discussing. In addition, during that discussion a brother mentioned starting an internet community to compete with EBay, dude had the plan and expertise to do it, that was a year before Myspace and YouTube appeared on the net. My point is Google ain't doing nothing that people that frequent this board can't do the only difference is they don't talk about it they be about it. Power perceived is Power achieved.
 

muckraker10021

Superstar *****
BGOL Investor
Greed said:
[FLASH]http://epic.makingithappen.co.uk/ols-mattrobin-flash.swf[/FLASH]

<font color="#000000" size="3">Good find Greed, there are a lot of truthful nuggets in this hypothesis. Very Orwellian. The part about the New York Times becoming a newsletter for the elite while the rabble consume personalized customized web propaganda, reminds one of bygone days centuries ago when only elites knew how to read and books were so expensive that only elites could afford them. Actual copies of the so called "Holy Bible" were owned by priests, who told the uneducated rabble how to live their lives. Something like :D :D :D <s>FOX</s> FAKE News.</font>

<img src="http://mywebpage.netscape.com/camarilla10023/fox.news.civil.rights.png" width="700" height="458">
 

Greed

Star
Registered
what a shock.

who would have thought you would be the one to see the demise of the new york times as a travesty and anything that follows it would be inferior.

who'd a thunk it. anyway, i hope you enjoy that newsletter.
 

muckraker10021

Superstar *****
BGOL Investor
Greed said:
what a shock.

who would have thought you would be the one to see the demise of the new york times as a travesty and anything that follows it would be inferior.

who'd a thunk it. anyway, i hope you enjoy that newsletter.
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Why inject sarcastic poison into a non-controversial informative thread?????

Ahh.hh... don't tell you actually believe that a further diminution of a "reality based" media would be a good thing??

A good thing for who???

If the scenario depicted in the flash movie actually becomes reality, you better hope you can afford 'That "<i>"reality based"</i> Newsletter'

Right now as of 2005 only 11% of more than 8 million New Yorkers read the New York Times.
Less than 6% of more than 8 million New Yorkers read the Wall Street Journal, which (excluding its acknowledged as bogus editorial page***) is a very solid "reality based"newspaper. I read it every day.

Meanwhile "faith based" newspapers produced for the rabble like the New York Post lose more than $10,000,000. per year as they tell their readers that Iraq is paradise, all violent criminals are black men, torture is a good thing, global warming is good, evolution is 'non-biblical'-don't you know the earth is only 6,000 years old, and internet sex with a sixteen year old is not pedophilia.

If we do go back to an era where "reality based" media is only available via a newsletter then count me in, I'm a subscriber. I'm sure it will be priced well above the median income of the rabble to limit its availability.

If this concept confuses you then let me school you on how the 'TRUTH FOR THE ELITE ONLY' world works today. I could give you a dozen examples but I'll focus on the foremost disparity between the rabble and the elite. MONEY.

Read the Forbes article below and figure it out for yourself.
Do you believe that an investor with $50,000 to invest should walk into a investment firm and receive LIES from that investment firm - meanwhile - the investor with $5,000,000 receives TRUTH from that investment firm??

Welcome to the 'TRUTH FOR THE ELITE ONLY' world.</font>

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<font size="4"><b>Tale of Two Citis</b></font>

By Michael Maiello | Mar 31, 2003

http://www.keepmedia.com/pubs/Forbes/2003/03/31/5369?ba=m&bi=0&bp=12

http://mywebpage.netscape.com/camarilla10023/Wall+Street.jpg

Relying on stock research from Citigroup's Salomon Smith Barney? Citigroup's money managers aren't.

<span style="background-color: #FFFF00"><b>If you were a retail client of CitiGroup' Salomon Smith Barney in 2000 your broker probably recommended buying Enron. The firm listed Enron as one of "Ten-plus Exceptional Names"</b></span> then, and Salomon analyst Raymond C. Niles rated the stock a "buy" from April 2000 to October of 2001--as the stock fell 78% to $16.
<span style="background-color: #FFFF00"><b>
But if your money was invested at another unit of Citi, <u>its high-net-worth Citigroup Asset Management division,</u> you were spared the Enron pep talk.</b></span> The equity analysts who work at that division chose not even to cover Enron, deeming the company's structure too convoluted to generate reasonable forecasts.
<span style="background-color: #FFFF00"><b>
Like some other Wall Street houses, Citi employs two groups of analysts, and the result is often conflicting advice. For Salomon's retail brokerage customers, 350 analysts churn out reports. For wealthy investors at the $480 billion Citigroup Asset Management division, headquartered in Stamford, Conn., 230 analysts rate stocks on a 1-to-5 scale.
<font size="3" color="#ff0000">This research is not available to hoi polloi.</font></span>

<blockquote>
Definition of hoi pollpi - \hoi-puh-LOI\, noun: The common people generally; the masses, the 9-5 working class, "average joe", W2 wage earner</b>
</blockquote>
Since the Asset Management research is not in any public database, it's hard to be sure how good it is. But if you want to take Citi's word for it, the stocks ranked "1" have averaged a return of 6% a year since April 1999, trouncing the -14% return in the S&P 500. The Stamford money managers are clearly free to disregard what their colleagues at Smith Barney are saying. The Lionshares database, maintained by FactSet ResearchSystems, shows that Citigroup's mutual fund managers reduced their position in Staples in the December quarter while Salomon Smith Barney touted it as one of its top 15 stocks to hold through this summer. They chopped their stake in Exelon by 39%, even as Smith Barney had an "outperform" rating on the company.

In a written statement to FORBES, Citigroup notes: "It is the healthy organization that encourages intellectual debate and allows for both shared and dissenting opinions." If you can afford it, get both opinions. <span style="background-color: #FFFF00"><font size="3"></b>To open a private banking account you'll need $5 million in investable assets.</b></font></span>

(Copyright Forbes Inc. 2003)

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***Now let's address the Wall Street Journal bogus editorial page. Throughout the 1990's the Wall Street Journal editorial page ran editorials giving credence to the notion, that Bill Clinton was a cocaine dealer while governor of Arkansas, that Hillary killed Vince Foster, that Jesse Jackson was "a threatening black politician"???, that a black executive at IBM wore pink suits to work, etc. etc. etc.

If I have time I'll pull down all these Wall Street Journal (WSJ) editorials from Lexis-Nexus. The Journal's editorial and news page staffs are completely independent from each other. Read:
http://newyorkmetro.com/nymetro/news/media/features/12899/index.html

The WSJ editorial page was such a joke that the "reality based" journalist that worked in the prestigious WSJ news division went to the Bancroft family, who are the majority shareholders, asking them to tone the BULLSHIT down. The BULLSHIT continued.

On November 2002 the WSJ editorial page published an editorial which said that poor people don't pay enough taxes. ...... No that's not a misprint or joke. The WSJ editorial page called the working poor - "LUCKIE DUCKIES" -</font>

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washingtonpost.com
<font size="4"><b>Low-Income Taxpayers: New Meat for the Right</b></font>

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By E. J. Dionne Jr.

Tuesday, November 26, 2002; Page A29

Prepare yourself for the latest cause of the political right: You are about to hear a great deal about how working Americans at the bottom of the economy are not paying enough in taxes.

I am not making this up. The Wall Street Journal's editorial page always provides important clues about the Next New Thing among conservatives, and there it was last week assailing <font color="#ff0000"><b>"The Non-Taxpaying Class"</b></font>

You'd think the tax-cutters on that page would be happy with a policy begun under Ronald Reagan to lift the income tax burden from Americans struggling to get by on modest paychecks. But no, it seems that because of our tax structure, the favorite causes of supply-siders -- big tax cuts for wealthy Americans and investors -- are just not popular enough. "While we would opt for a perfect world in which everybody paid far less in taxes," the editors write, "our increasingly two-tiered tax system is undermining the political consensus for cutting taxes at all."

The editorial writers are roiled by the fact that the richest Americans, those with incomes of more than $500,000 a year, account for 28 percent of total tax revenue and that the top 5 percent "coughed up more than half of total tax revenue." The Journal contrasts these unfortunate souls with the thriving person who earns $12,000 a year and ends up "paying a little less than 4 percent of income in taxes."

Worse yet, various tax credits, mostly aimed at helping families raise children, further reduce the income tax burden on low-income folks to the point that "almost 13 percent of all workers have no tax liability and so are indifferent to income tax rates. And that doesn't include another 16.5 million who have some income but don't file at all."

Then comes this remarkable sentence: "Who are these lucky duckies?"

"Lucky duckies"?

Now, I credit my friends on that editorial page with strong principles and powerful feelings of compassion toward high-end taxpayers. But it will certainly come as news to low-income families getting by on two small paychecks that they are lucky duckies.

And the truth is, low- and middle-income people do pay a lot in taxes. They just don't happen to pay the taxes that supply-side conservatives want to cut.

The Journal's editors make only a passing comment on payroll taxes. But the basic FICA tax takes a much bigger share from middle and low incomes than from large ones. The 6.2 percent tax applies on incomes up to $84,900, meaning that if you make that or less, you pay the full 6.2 percent. But Richard Sims, the policy director of the Institute on Taxation and Economic Policy, took the recently published example of a top CEO who earned $122.5 million in 2000 and calculated that his FICA tax rate was 0.00043 percent. Lucky ducky.

Sims also notes that sales and excise taxes hit hardest at low- and middle-income people who have to spend most of their earnings on taxable items, can't save a lot, and don't put much of their money into financial, accounting and legal services, which generally aren't taxed.

According to Sims's figures, the bottom 20 percent of Illinois residents pay 10.8 percent of their income in sales and excise taxes, compared with only 1.4 percent paid by the top 1 percent of earners. In California, the comparable figures are 7.4 percent and 1.0 percent; in Arizona, 8.1 percent and 1.2 percent; in Colorado, 5.1 percent and 0.8 percent.

Yes, the wealthy are paying more in federal taxes, but for reasons that are good news for the wealthy -- "largely because they receive a much larger share of the total income in the nation," says Isaac Shapiro of the Center on Budget and Policy Priorities. Between 1979 and 1997, the last year for which figures are available, the average after-tax income of the top 1 percent of households, adjusted for inflation, rose by $414,000 -- a 157 percent gain. For the middle fifth of households -- the middle of the middle class -- the comparable gain was 10 percent, or $3,400. The bottom fifth was stagnant.

Over the past generation, the federal government's best deed for the working poor -- it started with Reagan and gained momentum under Bill Clinton -- was to reduce federal taxes on their labor and give low-income families an additional boost with the Earned Income Tax Credit. If the goal of welfare reform is to encourage work, we ought to be thinking of more ways of lifting the fortunes of the poorly paid. That's not class warfare. It's good policy. The last thing we need to worry about is whether poor Americans are taxed too little.</font>

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So you continue your contempt for fact based media. It's almost unbelievable that RepubliKlans and elite Neo-Cons have such a love for "Fake-Based" media when they themselves understand that it is bullshit and don't rely on it for the personal decisions they make in their lives. When I was at Goldman Sachs in the 1980's - 1990's affluent clients would pay as much as $12,000 a year for "reality-based" research reports covering economics & politics. I continue to receive all of this high-priced "reality-based" research every month. Guess what? There are no republican talking points in these reports, just sobering "reality-based" facts. The talking points are for the rabble. So when you understand what the elites rely on for their critical information and see that it is diametrically different than their talking points propaganda, then you understand that the "Fake-Based" media is designed to keep the rabble stupid and docile. It's the ultimate three-card-monte scam.

As far as that hypothetical newsletter goes; You damn right, I'll be receiving it.
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Greed

Star
Registered
muckraker10021 said:
As far as that hypothetical newsletter goes; You damn right, I'll be receiving it.
yes, excellent post.

now can we get you to stop with the 1000 word essays just to agree with me.

thanks in advance.

your friend always,
me.
 
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