The Fine Print: How Big Companies Use "Plain English" to Rob You Blind (49 page)

Federal Deposit Insurance Corporation (FDIC), 148

Federal Energy Regulatory Commission (FERC), 90–91, 92, 93, 95, 96, 97, 98, 99, 101, 102, 103, 104, 260, 261

Federal Reserve, 146, 147–48, 149–50, 152, 191, 245

Federal Reserve Act, Rule 23A of, 147–53

fees, imposed by banks, 142–53

Felton, Calif., 118, 120–21, 122

Felton FLOW, 122, 123–24

fiber-optic cables, 51

Fidelity, 187

fiduciary duty, 194–95

film industry, tax credits for, 218–26

Financial Crisis Inquiry Commission, 171

financial crisis of 2008, 21–22

FiOS (Verizon fiber-optic system), 53

fire departments, 134–35, 173

volunteer, 135

Fischel, Daniel, 241–42

Fischer, David Hackett, 190–91, 192

Florida Power & Light, 99

Fogarty, Tom, 182

Ford, 234

Form 1040EZ, 229, 233

Foshee, Douglas, 169

401(k), 184–95, 201, 258, 271

birth of, 186–87

company theft from, 194

costs of, 190, 193–95

fees charged for, 188–89, 194

inefficiency of, 189–93

paid in company stock, 191

403(b)s, 188

457s, 188

Fox Studios, 222

FPL Group, 88

France, 60–61, 275

Franklin, Ben, 135

Franks, Jack, 234, 236

fraud, 161, 241–42

control, 8, 151, 242, 245, 267

mortgage, 151–52

Freddie Mac, 152

free trade policies, 250, 251–52

Friedman, Milton, 16–17, 26

gambling, 12, 233

garbage collection, 128–41, 248

costs of, 138–39

profits from, 139

taxes and, 133

Geffen, David, 222

General Electric, 9, 19, 148, 202, 218, 219, 221, 222, 234, 236

George, Henry, 48–49

Germany, 23, 243, 245–46

Ghilarducci, Teresa, 187

G.I. Bill, 137

gift taxes, 205

Gingrich, Newt, 20, 56

Ginsburg, Ruth Bader, 159–60

Glasgow, Ky., 54–59, 260

Glasgow Electric Plant Board, 56

Global Crossing, 191

GlobalFoundries, 9–10

Goldberg, Melinda, 128, 130–31, 132–33

Goldman Sachs, 9, 148, 150, 152, 165–71, 234

bailout of, 166–67

bonuses of, 167–68

corporate headquarters of, 167–68

in El Paso Corporation takeover, 169–70

profits of, 167–68

tax benefits for, 168

Gooch, Gordon, 98, 100, 101, 103–4

Good Jobs First, 168

Goodyear Tire & Rubber, 10

Google, 20, 235

Gottesdiener, Eli, 184

Government Accountability Office, 34–35, 109–10, 186, 194

government borrowing, 248

grain companies, 33

Gramlich, Jeff, 70–71

Gramm, Phil, 150, 152

Grand Coulee Dam, 73

Grand Hyatt, 237

Grange movement, 48

Great Depression, 21

Great Recession, 150, 189, 248, 253

Great Wave, The
(Fischer), 190–91, 192

Greenhouse, Steven, 173

Greenspan, Alan, 152, 166

Greig, Jacqueline, 106–7

Greig, Janessa, 106

Griffith, Thomas, 96, 97

Grow, Brian, 14

Hale, Carter Hawley, 191, 192

Haliburton, 20

Hall, Jim, 110

Hall, Robert, 200

H&R Block, 228, 269

Harmon, James D., 177

health care, 23, 82, 243, 248, 275

health insurance, 23, 243

Heaney, Jim, 73

hedge fund managers, 204–7, 251, 256, 271

hedge funds, 196

Herfindahl-Hirschman Index (HHI), 47–48

Heritage Foundation, 150

heterodox economists, 245

Hewlett-Packard, 212

“high consequence areas,” 107, 108, 115

Hlatshwayo, Sandile, 61

holding companies, 67–68, 260, 261–62, 265

Holding Company: Its Public Significance and Its Regulation
(Bonbright and Means), 261

Holmes, Tod, 139, 140–41

Hoskin, Rolan, 173–74

housing crisis, 152–53

HSBC, 148

Huls-Simpson, Natalie, 163

Hurricane Katrina, 78, 80

Hurst, Wayne, 33, 34–35

Huval, Terry, 42, 43, 45, 58–59

IBM, 19

Idaho Grain Producers Association, 33

Illinois, 234–36, 238

Illinois Department of Commerce and Economic Opportunity, 235–36

Illinois Public Act 97–2, 239

income:

average, 208

stagnation of U.S., 21–22

income taxes, 199

income tax returns, 227–33

Independent Voter Project, 73

index funds, 193

India, 62, 252

Indiana, 126

individual retirement accounts, 271

inequality, 248, 255

infant mortality, 20, 243

infrastructure, 59, 275

aging, 65–66

Ingersoll Rand, 20

Inquiry into the Nature and Causes of the Wealth of Nations
(Smith), 55, 136, 259

Insull, Sam, 67, 103

Insull Trust, 103

insurance, 267–68

insurance companies, 12, 176

integrity, 244–46

Intel, 73

intellectual property, 237

Intermodal Surface Transportation Efficiency Act, 47

Internal Revenue Service, 15–16, 197, 206, 211, 275

corporate auditors of, 238

Internet, 1–2, 5, 7, 50–51, 52, 59–60, 230, 252

cost of, 60–61

economic impact of slow service on, 61–63

speeds on, 60, 62

Internet bubble, 185

Internet calling, 53

Interstate Commerce Commission (ICC), 34, 260

Intuit, 229–33, 269

investment banking, 165

Investment Company Institute, 188

Ireland, 216, 250

Irondequoit, N.Y., 224–25

Iroquois Indians, 130

Jackson-Hewitt, 228

Japan, 243, 275

Jha, Sanjay, 235

job benefits, 23

job growth, 208

job subsidies, 268–69

John Jay College, 108

Johnson, Calvin, 98–99

Johnson, Ned, 187

Jorgenson, Dale, 200

Joseph, Kecia, 86

Joseph, Nathaniel, 86

J. P. Morgan, 9, 148

judicial activism, 26

Justice Department, U.S., 2, 4, 40, 151, 229

Antitrust Division of, 36

“just and reasonable” principle, 92, 94, 98, 260, 264

justice systems, 134

Kanavas, Ted, 219

Kansas City Southern, 42

Katzenberg, Jeffrey, 222

Kavanaugh, Brett, 96, 97

Keating, Charles, 241

Keeton, Barbara, 154–55, 157, 163–64, 244, 266

Kelliher, Joseph, 95, 96, 99

Kennedy, John P., 215–16

Kessler, Rich, 110

Kinder, Richard, 169

Kinder Morgan Management, 95, 101, 169

King, Wade, 105, 106

Knightly, Maureen, 109, 113

Kohl, Herb, 235

Kolstad, Toby, 35

Kraemer, Ronald, 112

Kushnick, Bruce, 3–4, 5–6, 7, 51, 52

Labaree, Benjamin Woods, 24

Labor Department, U.S., 185, 190, 193

Lafayette Utilities System, 42–44, 45, 46, 58, 96

LaHood, Ray, 112

landfills, 128, 138, 140

landlines, right to, 7

Latvia, 60

Lawton, Barbara, 219

Lay, Ken, 103

Lebowitz, Alan, 185

Ledbetter, Lilly, 10

Lehman Brothers, 166, 191, 210

Leipzig, Adam, 1–2, 7

Lendrum, Jeff, 158–59

Leonard, J. Wayne, 79–80, 87, 89

LeRoy, Greg, 168

Levoff, Michael, 232

Liang, Nellie, 192

Liberty Bonds, 168

life expectancy, 137, 243

Lifeline, 264–65

Lincoln, Abraham, 274

Lipitor, 212

Lithuania, 60

loan fees, 144

Local Access and Transport Area (LATA), 5

Lockport, N.Y., 237

Long, Russell B., 35

Long-Cannon Amendment, 35

long-distance service, 2–3

“Looting: The Economic Underworld of Bankruptcy for Profit” (Romer), 153

Los Angeles, Calif., 82

Los Angeles Department of Water and Power, 265

Louisiana, 222, 223, 224

Louisiana Department of Transportation, 84

Loxley, Colin, 69–70

M&T Bank, 145–46

McCourt, Frank and Jamie, 206, 271

McCullough, Gerald, 47

McFarland-Porter, Tess, 131, 132–33

McIntyre, Robert S., 198

McWane Inc., 173–74

Madoff, Bernard, 102

Mae, Sallie, 144

Malkiel, Burton, 192–93

management overhead fee, 220

Mann, Michael, 221

Manning, Bob, 172–73, 176–83, 244

Manning, Helen, 172, 178, 179

Manteca, Calif., 74–76

Manteca Bulletin,
75–76

manufacturing jobs, 250

market power, 36–37

Mark Stone, 123

Marx, Karl, 274

Massey Energy Company, 174–76

Mastercard, 143

master limited partnerships (MLP), 92–93, 96, 98, 262

downside for investors of, 100–104

Maynard, Spike, 174–75

mcdep.com, 102

MCI, 241

Means, Gardiner C., 261

measles, reduction of, 137

Meat Inspection Act, 137

media, 10–11, 12, 31, 85, 216

network news shows and, 142–43

Medicare, 180–81

Medicare tax database, 255–56

Mehling, Jim, 184–86, 188–89

Merck, 214–15, 251

Meredith, Ronald, 50, 57

Merrill Lynch, 148–49

Mexico, 251

Michigan, 223, 225–26

Michigan State University, 223, 225

Microsoft, 19, 58, 251

MidAmerican Energy Holdings, 37, 38, 44

deferred taxes for, 198–99

middle class, shrinkage of, 28

Milken, Michael, 241

Milstein, Elliot S., 163

Milwaukee Journal Sentinel,
206–7, 219

mine safety laws, 174

Mitsubishi, 234

moat index, 37–38

Moebs Services, 146

Monitor Capital Advisors, 184

monopoly(ies), 2–3, 23, 27, 35–38, 40, 42–44, 46, 47, 54, 55–56, 61, 67, 68, 71, 79, 85, 91, 93–97, 117, 120, 125, 127, 198, 201, 229, 235, 240, 260–65, 275, 277

monopoly power, 35–36, 37–38, 40–41, 42–44

of cable companies, 54

monopoly pricing, total cost of, 44

Montara, Calif., 123

Monterey County, Calif., 123

Morgan, Linda, 45

Morgan Stanley, 101, 157–59, 169

Morial, Marc, 85

Morningstar, 37

Mortgage Bankers Association (MBA), 151–52

mortgage fraud, 151–52

Mosaic Netscape, 59

Moses, Margaret L., 156

Mosher, Jim, 123–24

Motorola, 236, 239

Motorola Mobility, 235

Moyers, Bill, 247

Mozilo, Angelo, 153

MSB Energy Associates, 71, 197

Mueller, James, 124

Mulvey, Francis P., 34

Murdoch, Rupert, 19–20, 152, 222

Murphy, Richard G., II, 70

Murray, Gordon, 165

mutual funds, 187, 193

mutual insurance company, 184

Nabors Industries, 20

Nagin, Ray, 85–86

Nahyan, Sheikh Khalifa bin Zayed Al, 9–10

National Academy of Engineering, 111

National Fuel Gas, 112

National Grid, 181

National Taxpayers Union, 232

National Transportation Safety Board, 110, 111, 114

Natural Gas Supply Association, 93

natural-gas utilities, 38

Navistar, 234, 235, 236

neoclassical economics, 241–43, 245

New Jersey, 7, 9, 53, 124–27

New Jersey Board of Public Utilities, 69, 70, 125

New Mexico, 108

New Orleans, La., 77–89

New Orleans Times-Picayune,
84, 85

News Corporation, 222

New York, N.Y., pipelines in, 107–8

New York City Fire Department, 107

New York Life, 184–85

New York State, 9–10, 73–74, 82, 112–13, 118–19, 222

New York Telephone Company, 178, 179

New York Times,
82, 88, 89, 170, 173, 174, 180, 202, 250

NextEra Energy, 99

Niagara Falls, 73

Niagara Mohawk, 177–81

Nixon, Richard, 29–30

Nober, Roger, 45

Norfolk-Southern, 48

Norquist, Grover, 96, 232–33, 269

North American Free Trade Agreement (NAFTA), 250

North Carolina, municipal systems in, 62

Norway, 23

NV Energy, 64–65

Obama, Barack, 99, 143, 201, 253

Obama administration, 72, 110, 167, 251

Occidental Petroleum, 73

Occupational Safety and Health Administration, 116–17

Occupy Wall Street, 206

O’Connor, Jim, 140

Office of Pipeline Safety, 109–10, 114, 115, 117

oligarchy, 18–19

oligopolies/oligopolists, 10, 128–29, 145, 237, 240, 246, 275

Olin, 73

Olmsted, Frederick Law, 131

Oracle, 256

ordoliberalism, 246

Oregon, 38, 199

Organization for Economic Cooperation and Development, 60, 228

Ostrowski, James, 9–10

outsourcing, 252

overdraft fees, 145–46, 147

Pacific Gas & Electric (PG&E), 65–66, 72–73, 106, 109–10, 113–14, 125, 266

deferred taxes of, 71

proposed buyout of, 74–76

Page, Larry, 235

Pando Networks, 60

Pareto, Vilfredo, 242

Pareto improvement, 242–43

partnerships, 92–93

Pataki, George, 180

Paulson, Henry (Hank), 150, 166

PBS
Frontline,
174

Peevey, Mike, 72

Pennsylvania, 222, 224

pension plans, 23, 152, 187, 190, 184–85, 193, 258, 271

defined benefit, 195

Perez, John, 73

pertussis, reduction of, 137

Pfizer, 211, 213–14, 251, 270

“pigs” (pipeline inspection tools), 113–14

Pipeline and Hazardous Materials Safety Administration, 110, 114, 115

Pipeline Association for Public Awareness, 115

pipelines, 91–92, 100–104, 107–8, 143, 162, 169, 196, 247, 260–62, 264

compressor stations for, 116–17

corrosion of, 110–11, 114