These poll numbers were released earlier today by Rasmussen Reports -- "an electronic publishing firm specializing in the collection, publication, and distribution of public opinion polling information."
Americans Support Obama Plan to Tax Bailed-Out Banks
Monday, January 25, 2010
Most Americans favor the new effort by President Obama to recover the bailout money by taxing the nation's largest banks. However, most only want the banks who received bailouts to pay the tax and think that other bailed-out institutions like Fannie Mae and Freddie Mac also should be taxed.
There is also modest support for limiting how big a bank can get and for placing a higher tax on the largest banks.
The latest Rasmussen Reports national telephone survey finds that 56% of adults nationwide favor taxing the largest banks to recover the bailout money. Only 28% are opposed. However, by a 69% to 18% margin, Americans think this tax should apply only to banks that received a taxpayer bailout.
Additionally, 72% believe that other bailed-out financial companies should pay the tax. The president's proposal excludes financial institutions like mega-insurer American International Group (AIG), Fannie Mae and Freddie Mac, all of whom received billions in taxpayer bailout help.
Because of the potential risk the largest banks present to the nation's financial system, 49% are okay with making them pay a higher tax than small and mid-sized banks. Twenty-eight percent (28%) dislike this idea. While nearly half are supportive of a tax to cover the additional risk posed by very large banks, polling last fall found that just 29% thought more regulatory controls should be placed on big banks .
Forty-five percent (45%) of Americans now support the more dramatic step of limiting how big a bank can get while 33% are opposed to such a restriction.
The numbers are similar when it comes to placing limits on the kinds of investments banks can make: 49% like the idea, and 29% do not.
There is much greater support for charging banks that make risky investments a higher fee to obtain federal insurance guarantees. Sixty-six percent (66%) favor this kind of fee, and just 15% oppose it. Virtually all bank deposits are guaranteed by the federal government, and banks now pay a fee to fund this coverage.
By a 55% to 25% margin, Americans think large bonuses paid to bank executives should be taxed at a higher rate than other income.
These attitudes come from a nation angry about the bailouts. While Congress was debating the initial bailout funding, just 24% of voters liked the idea . Just 35% initially favored a bailout for General Motors and opposition to that bailout grew over time. Seventy-six percent (76%) opposed the extension of bailout funding to ailing life insurance companies. Only 26% thought it was a good idea for the government to take over GM . Nearly as many (17%) thought the takeover was a reason to boycott GM products.
Looking back, most voters still believe the auto bailouts and those extended to the financial sector were a bad idea that will hurt the economy in the long run.
Seventy-one percent (71%) of voters think government and big business typically work together in ways that harm both consumers and investors .
In fact, when the bailouts began, 51% thought the politicians were more interested in gaining additional power than in fixing the economy . One-third (33%) believed U.S. political leaders were trying to scare Americans into supporting the bailout proposal by making the economy seem worse than it really was.
In the end, 80% believe Wall Street benefited more than taxpayers from the bailouts.
Fifty-nine percent (59%) of adults say that when members of Congress meet with regulators and other government officials, they do so to help their friends and hurt their political opponents .
Adding insult to injury, most believe the corrupt system works and that political donors get more than their money's worth . That's one reason 40% say it should be against the law for elected officials to receive any campaign contributions.
Concerns about the interaction between government and big business is one reason that 76% prefer a free-market economy over one that is government-managed. While voters almost always see a need for some restriction on market behavior, 48% say there are currently too many restrictions in the United States. However, 33% take the opposite view and believe there are not enough restrictions. Not surprisingly, the Political Class is less enthusiastic about markets and more positive about a government role.