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Commentary By Nicole Gelinas

As NY Lawmakers Bust the Budget, Cash-Cow Wall Street Is Moving to Greener Pastures

Cities, Economics New York City, Finance

As the Legislature slouches into its second week past the April 1 deadline to pass a $233 billion or so budget for fiscal year 2025, disagreements are over non-spending issues, such as housing, and whether to add spending.

Nobody is asking: Where does the money come from?

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They should because New York’s cash cow — Wall Street — has been finding greener pastures.

The securities industry — issuing and trading stocks and bonds and providing companies advice on mergers and such — has had a soft couple of years.

Nationwide pre-tax profits hit records a few years ago, reaching $58.4 billion in 2021.

Wall Street benefited from the trillions in cash both the Trump and the Biden administrations pumped into the economy during the pandemic.

Low interest rates encouraged companies and people to keep borrowing and investing, paying fees to Wall Street.

Continue reading the entire piece here at the New York Post

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Nicole Gelinas is a senior fellow at the Manhattan Institute and contributing editor at City Journal. Follow her on Twitter here.

Photo by Spencer Platt/Getty Images