Beck continues hot streak…
Ξ May 15th, 2008 | → 2 Comments | ∇ Aggravations, Glenn Beck |
Glenn once again has written a fantastic article. You know, I’ve never listened to his show but after reading all these great articles on CNN, I may just have to give it a listen even though I generally find radio talk shows (other than sports) to be rather annoying in nature.
There is an industry in this country that is making billions in profit while average Americans are struggling to fill up their gas tanks.
It’s an industry that made an average profit of nearly 17 percent in 2007 while most Americans could barely keep up with inflation.
It’s an industry whose members paid a grand total of zero dollars in tax on their endowments last year.
Are you outraged? Are you ready to call on Congress to investigate or demand that a “windfall” tax be placed on these egregious profits?
Well put down the phone because the industry I’m talking about is Higher Education. And make no mistake, it is an industry.
The top five college and university endowments reported a combined value of over $100 billion at the end of 2007. That’s five funds, a hundred billion in cash. Not a nickel in tax. Not an ounce of outrage.
And this is the killer part….
Let me be clear: I have absolutely no problem with Harvard or any other school having billions in cash. In fact, good for them!
I have no problem with Harvard posting an unbelievable 23 percent rate of return on their money last year. The truth is, I’m jealous of it.
I have no problem with the fact that if you project Harvard’s endowment out using their historical rate of return they would have over half a TRILLION dollars in 20 years.
I don’t even have a problem with Harvard not paying one dime of tax on any of that money.
What I do have a problem with — and it’s a big one — is how Harvard spends that money. Or, maybe it would be more accurate to say how Harvard, doesn’t spend that money.
Schools with large endowments (at least $500 million) reported spending an average of 4.4 percent of their stockpiles in 2007. Meanwhile, those same schools made an average of over 19 percent on their money.
But I also have another problem, and that is how these sanctimonious institutions who are so good at complaining about the injustices of our government are nothing but really highly educated hypocrites.
