By Ann Brown
Wall Street’s is on a buyback frenzy, and Rep. Keith Ellison (D-Minn.) wants to put an end to the practice. Ellison, who is running for attorney general of Minnesota to be a better position to combat Trump’s policies, has offered a bill in the House to curb stock buybacks. The problem, according to Ellison, is that companies’ share repurchases have increased since the GOP tax law was passed in December. This, said Ellison, is just making the wealthy richer–and this is unfair to the rest of Americans.
“Large corporations have used their recent tax break to close plants and offshore jobs, all while spending record billions on buybacks to enrich their own executives,” Ellison said in a statement. “Workers deserve a larger share of the profits they produce and a seat at the table, and this law will make sure they get it.”
Companies have been taking advance of the new law. “Buybacks, which boost stock prices by making shares scarcer, have exploded in 2018 thanks to the huge windfall created by President Trump’s new tax law. American companies like Pepsi (PEP) Click here to read entire article