Posted on 08/23/2023 7:12:06 AM PDT by SeekAndFind
'Defund the police!' they yelled in 2020, that famous summer of love:
They did that. Now they're discovering -- the hard way -- that they're actually defunding themselves.
According to the New York Post:
A giant, sucking sound is coming out of Wall Street — and it’s siphoning staggering sums of money out of the Big Apple while handing business to Florida and other states farther south.
Nearly 160 Wall Street firms have moved their headquarters out of New York since the end of 2019, taking nearly $1 trillion — yes, that’s trillion with a “T” — in assets under management with them, according to data from 17,000 companies compiled by Bloomberg.
Looking to dodge rampant crime, stiff taxes and an increasingly exorbitant cost of living, 158 fed-up financial firms representing a whopping $993 billion in assets have packed up and left the Big Apple, taking thousands of high-paid employees with them, the data shows.
Lefties might argue that it's not city money that's fleeing, it's "only" rich men's assets, but that's how idiots think.
The Post highlights some very concrete consequences for New York City in the wake of what this is, which is capital flight:
The mass migration threatens a crippling economic blow: Last year, Wall Street accounted for 16% of all the economic activity in the city and 7.3% of economic activity statewide. The latter figure is the highest in the nation by far, towering above the national average of just 1.7%, according to an October report by New York state Comptroller Thomas DiNapoli.
Likewise, the exodus has grave tax implications for the city and state. Last year, financial firms paid $5.4 billion in New York taxes and accounted for nearly a quarter of all personal income tax collections, according to the report.
(Excerpt) Read more at americanthinker.com ...
So in other words, it's not just people fleeing New York, which is happening to the six-figue extent that they're losing congressional seats.
Thank you for the feel good story this fine Wednesday morning.
Others likely know the numbers better than myself, but directing (or controlling) the investment of $1T is far different than earning $1T. I think the cut for directing/controlling is around 1% to 2% per year, so more like $10B to $20B - still decent money, but not $1T
They suck the life out and leave the rot behind. They teamed with the rats because the rats will not prosecute them for thier crimes as long as the contribute to thier campaigns and bank accounts
True charity, or true philanthropy, which diminishes capital.
Note that the big-mouth, public relations fattened wealthy "elite" want themselves portrayed as "woke" and the like. But then their capital assets increase. By definition these faux philanthropists are gaming the system and the public discourse alike.
So, capital is NEVER woke.
So it seems.
When governor Andrew Cuomo let slip that the State of New York was looking to tax every stock transaction, you could hear the flick of the switch - those Wall Street firms were never going to let anyone in on their trading secrets and would leave any jurisdiction whose politicians thought they could tax such transactions.
Pretty soon we’ll be talking about some real money…
NY State has basically become a leftist Eastern Europe, with Wall Street attached to it.
The next recession/crash, NY’s budget will have an iceberg-sized hole in it.
At that point, Fed.gov will step in with $$trillions in “stimulus.”
The big unreported crisis is the staggering high vacancy rate in NYC commercial office buildings. Ridership on the MTA and PATH systems are below 2020 levels. Tax revenues and fares are way down. The situation is not sustainable.
At least Eastern Europe was more or less demographically homogenous.
Gov. Hochul said she doesn’t want these people. So they left.
You are 100% correct.
I sold computer systems to both Wall Street and the state of NY back when Mario {The Pious} Cuomo, was the Lt Governor of NY and while he was a demonRat, I never saw any sign of his hand out, looking for a payoff.
He was a reasonable demonRAT back then, but he couldn't get elected to dog catcher in today's demonRAT, communist party.
The demonRATs of the 70's, 80's were so much more Americans than today, that if they were alive today, they would vote for Trump.
And that should never be forgotten. These people are the same ones who financed Democrats nationally and statewide for decades. They bought and paid for the corruption they are now fleeing.
It’s exactly the same with Communism. People fight to the death morally and physically to implement Communism and once established the mass killing begins from peasants to anyone wearing glasses. It’s always the same and this is a microcosm of that. It is what Democrats are fighting for across the country and they are totally oblivious.
“managing a trillion dollars in assets”.. that’s meaningless.
NYC doesn’t get revenue from the assets under management.
What is the actual tax revenue lost to the city by these moves?
I know the trillion makes for a good headline, but its disingenuous. NO doubt these companies moving have had a tax revenue impact, but be honest about that impact, not sensationalizing.
NYC was never a heavy industry town but there used to be a lot of small manufacturers. Famously the garment industry, but also all manner of odds and ends. All those factory lofts in lower Manhattan are still there, but converted to condos.
The big one will be if and when the New York Stock Exchange moves out. They have had disaster recovery plans in place since the Cold War, so they can do it quickly if need be.
bttt
That’s going to leave a mark.
Henry Repeating Arms fled to the United States from NY years ago.
They just raised fares to make up.
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