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Lessons from China About Fighting Oligarchs
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If you want an example of a country that's actually taking action against corporate corruption, look no further than the People's Republic of China. Seriously, I'm not kidding.
 
Since President Xi Jinping took power in 2012, his government has unleashed all hell on the leadership of China's coal and oil industry. It has jailed powerful executives and, at the same time, unveiled a slew of new rules aimed at combating pollution, which remains one of that country's biggest problems. The data shows that this so-called "war on corruption" has been a success: In 2014, China's coal use and carbon emissions declined for the first time in more than a decade.
 
Now, there are questions about the real motive behind China's crackdown on corporate criminals - it probably has just as much to do with consolidating power as it does fighting corruption - but there's still a lot we here in America could learn from what President Xi Jinping is doing across the Pacific. That's because we're a country run by oligarchs who operate with total and absolute impunity.
 
Don't believe me?
 
Consider this: It's now been more than six years since the Crash of 2008 and the Justice Department has still yet to prosecute any head of any major bank for what was arguably the biggest financial scandal of all time.
 
This isn't likely to change anytime soon, either. Attorney General Eric Holder basically admitted a few years ago that some banks are "too big to jail" and U.S. Attorney Loretta Lynch, our likely next Attorney General, has a checkered history when it comes to fighting financial crime.
 
Oh, and as if all that wasn't bad enough, much of what government has done to hold the banksters accountable for their actions during the financial crisis has actually helped those banksters out. Most of the $13 billion settlement the Justice Department reached with JPMorgan back in 2013, for example, was tax deductible.
 
With this recent history in mind, China's crackdown on corporate criminals and pollution looks all the more impressive.
 
Read more here.
 
-Thom

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Letter: "To James Madison, Fontainebleau, Oct. 28, 1785" by Thomas Jefferson. "Another means of silently lessening the inequality of property is to exempt all from taxation below a certain point, and to tax the higher portions or property in geometrical progression as they rise."
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