Latest Post | Last 10 Posts | Archives
Previous Post: Group, legislators claim “undemocratic” decision on charters
Next Post: The least popular freshman governor
Posted in:
* Citadel CEO Ken Griffin, Illinois’ richest man, on CNBC…
“We live in Illinois, which is economically depressed due to an overreaching government that can’t control its spending.”
…Adding… Illinois’ population is 4 percent of the nation’s, but it gained 5 percent of last month’s robust 271,000 new jobs…
The Illinois Department of Employment Security (IDES) announced today that Illinois’ nonfarm payroll employment gained +14,100 jobs and the unemployment rate in October held at 5.4 percent, based on preliminary data released by the Department and the U.S. Bureau of Labor Statistics (BLS).
posted by Rich Miller
Friday, Nov 20, 15 @ 7:52 am
Sorry, comments are closed at this time.
Previous Post: Group, legislators claim “undemocratic” decision on charters
Next Post: The least popular freshman governor
WordPress Mobile Edition available at alexking.org.
powered by WordPress.
Says the dude, born and raised in Florida, educated in Boston, who chose to come to Chicago to build his business and now has a personal net worth of $7 billion.
Just think how far that kid could have gone if he hadn’t been trapped against his will in Illinois and Springfield politicians hadn’t held him back.
It’s tragic.
Comment by wordslinger Friday, Nov 20, 15 @ 8:03 am
“due to an overreaching government that can’t control its spending.”
And yet we are still waiting for your BFF-4-Eva to present a balanced budget. Change the Illinois seal to an ouroboros.
Comment by Dee Lay Friday, Nov 20, 15 @ 8:04 am
Isn’t Bruce his buddy?
Isn’t spending now done by court order?
At least Mr. Griffin didn’t say it was “Speaker Madigan and the legislstors he controls”, or “Hang In There”?
I guess Gov. Rauner’s lone constituent isn’t… happy?
Well, I do know the wealthy need to have more influence in politics…
It’s always easier to have “one of your own” as the “made member” while you continue to lob insults and structure your own words to seem callous only to your own perceived wants… Why would Mr. Griffin himself want the headache of governing?
Comment by Oswego Willy Friday, Nov 20, 15 @ 8:05 am
=I don’t want you here=
Then who will be left to pay for your benefits and pension? There’s a 0% chance you work for a for-profit company and negotiate your own wages/benefits. Your bizarre sense of entitlement gives you away.
Comment by Robert the 1st Friday, Nov 20, 15 @ 8:05 am
Spoken like someone who can’t name a program or line item that should be cut. Let alone $9 billion worth of them.
And even his buddy that he got elected wised up and saw that its not a spending problem, its a revenue problem. Perhaps Bruce can enlighten him next time they sip wine in that downtown penthouse.
Comment by Abe the Babe Friday, Nov 20, 15 @ 8:05 am
Maybe the Gov should add another 10 minutes to the open part of the Leaders meeting, and have ol Kenny give a 10 minute speech on government spending and exactly where it should be cut..
Comment by Wow Friday, Nov 20, 15 @ 8:14 am
In all seriousness, how did IL overreach on Mr. Ken Griffin? I mean he made $7 bil and he claims he’s being held back by state government?
Please enlighten us to what rule, regulation, or tax that held you back from making a cool $10 bil? For most of your career you paid only 3% tax on your income, the income that’s not stashed somewhere offshore anyway. And you are being held back? and by the way the majority of the companies in IL don’t pay corporate taxes so don’t blame that either.
How deft can these guys get? Next they will probably claim they don’t have enough sway in the political process…oh wait…
Comment by Abe the Babe Friday, Nov 20, 15 @ 8:16 am
Doesn’t make a difference if he is worth $100 or $7 billion, he is correct.
Pretty easy for overt critics to miss this fact.
Comment by anon Friday, Nov 20, 15 @ 8:16 am
I am sure he would fit in in Mississippi and I hope he goes soon
Comment by DuPage Saint Friday, Nov 20, 15 @ 8:17 am
I wonder how he feels about a financial services tax?
Comment by Rowdy Roddy Friday, Nov 20, 15 @ 8:17 am
What could a multimillionaire possible know or understand about living on a budget? About watching pennies?
Comment by AnonymousOne Friday, Nov 20, 15 @ 8:18 am
Oh - anon -, you must be doing your shots early again…
If you think there’s a spending problem now, the governor has gone to judges to get that spending done.
Governors own the budget, maybe Griffin shoukd talk to Bruce on that spending thru judicial order thingy right now.
Rauner needs, requires, revenue, but already knew that too.
Comment by Oswego Willy Friday, Nov 20, 15 @ 8:21 am
Talking points. If this guy is so smart cite specifics. Sorry but I don’t think Illinois is “economically depressed”.
Comment by Stones Friday, Nov 20, 15 @ 8:21 am
– he’s correct–
“Economically depressed” is actually definable and measurable, and not just a word-salad ingredient ideological goofs say on the cable tv yakkers.
By no measure or definition is Illinois “economically depressed.”
Comment by wordslinger Friday, Nov 20, 15 @ 8:21 am
==Doesn’t make a difference if he is worth $100 or $7 billion, he is correct.==
EXACTLY! Why these people continue to choose to pretend as if Bruce Rauner had anything to do with the creation of Illinois’ fiscal problems is unbeknownst to me.
Comment by NOTFUNNY Friday, Nov 20, 15 @ 8:23 am
How about a tax applied to individuals donating more than $1M to PACs? The extremely wealthy want to dictate political agendas through donations, we should implement a billionaire tax. /s
Comment by Lincoln Lad Friday, Nov 20, 15 @ 8:24 am
==Doesn’t make a difference if he is worth $100 or $7 billion, he is correct.==
Care to provide some examples? Where should we cut? You make it sound so easy. Enlighten us please. And don’t forget to show your work by listing specific program names and amounts.
Comment by Abe the Babe Friday, Nov 20, 15 @ 8:24 am
===Why these people continue to choose to pretend as if Bruce Rauner had anything to do with the creation of Illinois’ fiscal problems is unbeknownst to me.===
Gov. Rauner has yet to get a budget passed to show any way he’d “fix” anything so it’s unbeknownst to me how Rauner would “fix” it.
“Hang In There” - NotFunny -
Comment by Oswego Willy Friday, Nov 20, 15 @ 8:26 am
Don’t know what was wrong with my original comment but I’ll try again.
If you don’t like Illinois then leave. Seriously. Just leave. The constant barrage of negativity is tiresome.
I - and most people - don’t think the situation is a bed of roses. But I also don’t think the answer is to continually badmouth the state. You aren’t helping the business climate by doing so.
Comment by Demoralized Friday, Nov 20, 15 @ 8:27 am
Illinois isn’t so economically depressed that Griffin can’t buy a state political party.
Comment by Grandson of Man Friday, Nov 20, 15 @ 8:29 am
==Why these people continue to choose to pretend as if Bruce Rauner had anything to do with the creation of Illinois’ fiscal problems is unbeknownst to me.==
Ugh. Another victim.
Nobody said the Governor created the problem; however, it’s now his problem.
Comment by Demoralized Friday, Nov 20, 15 @ 8:29 am
===Why these people… ===
“Who” are… “these”… people, and when you answer, take your time as to not hyperventilate breathing so hard through your mouth.
Comment by Oswego Willy Friday, Nov 20, 15 @ 8:30 am
I’m an Illinoisan, born and raised. I make a decent living in my rural area and really have no complaints about my state.
Could things be better, sure. But I have spent some time in other states that are alleged to be business paradises and by and large not to impressed.
If I was a billionaire, not from this state, and disapproved of the way it was being run I wouldn’t be hanging around.
Comment by efudd Friday, Nov 20, 15 @ 8:33 am
“Also, let them eat cake!’ — @FakeKenGriifin
Sigh.
Comment by Crispy Friday, Nov 20, 15 @ 8:33 am
“Doesn’t make a difference if he is worth $100 or $7 billion, he is correct.”
No, he’s not.
Just ask the credit rating agencies, e.g. Moody: “The downgrades reflect weakening of the state’s financial position during 2015 and our expectation that an ongoing budget stalemate will lead to further deterioration. *** Structural budget imbalance, accounts payable, and other fiscal metrics are back-tracking, despite a favorable economic climate, leaving the state more vulnerable to the next economic downturn, barring unexpectedly strong and swift corrective actions.” https://www.moodys.com/research/Moodys-downgrades-Illinois-outstanding-27B-of-GO-bonds-to-Baa1–PR_337211
Illinois has “a favorable economic climate”. To the degree that Illinois is currently “economically depressed,” it is due a 1) steep drop in the tax rate/revenue, and 2) the lack of a budget.
– MrJM
Comment by @MisterJayEm Friday, Nov 20, 15 @ 8:35 am
“Why these people continue to choose to pretend as if Bruce Rauner had anything to do with the creation of Illinois’ fiscal problems is unbeknownst to me.”
To, once again, quote Moody: “The downgrades reflect weakening of the state’s financial position during 2015″ (You can Google who became Illinois governor at the beginning of this year.)
– MrJM
Comment by @MisterJayEm Friday, Nov 20, 15 @ 8:37 am
Thank you MrJM
Comment by burbanite Friday, Nov 20, 15 @ 8:39 am
Another top .01% who saved millions on his state taxes this year. He has little in common with most people in Illinois. He has a lot in common with Rauner.
Comment by DuPage Friday, Nov 20, 15 @ 8:39 am
Demoralized,
=Nobody said the Governor created the problem; however, it’s now his problem.=
A problem that he bought and paid for with a lot of his own money and the money of his rich buddies. Just because you buy an election/political party doesn’t make you CEO, we still have a Constitution that defines the framework of how this state is Governed. If he didn’t understand that when he purchased the position then he made a bad purchase.
Comment by Gruntled University Employee Friday, Nov 20, 15 @ 8:46 am
If it wasn’t for being oppressed by Illinois he would’ve been able to hold his wedding reception at the Palace of Versailles. Oh wait, he did.
Comment by Norseman Friday, Nov 20, 15 @ 8:47 am
Demoralized,
I’m hope my post didn’t sound argumentative to your post, I’m just trying to add my 2 cents to your point.
Comment by Gruntled University Employee Friday, Nov 20, 15 @ 8:50 am
Shame on us by not being as economically prosperous as all the red states in the bottom half of income rankings (per capita, median household and median family).
https://en.wikipedia.org/wiki/List_of_U.S._states_by_income
Comment by Grandson of Man Friday, Nov 20, 15 @ 8:52 am
Norse, Griff is trippy, almost a cartoon character of a rich dude who doesn’t know what to do with all his money.
I read an account a little while back in the WSJ where Griff paid Bill Clinton $250K just to show up and schmooze with some employees at lunch for an hour.
Not a speech or presentation, just lunch, a couple drinks and shooting the breeze.
Comment by wordslinger Friday, Nov 20, 15 @ 8:52 am
—We live in Illinois, which is economically depressed due to an overreaching government that can’t control its spending.—
Yep, destroying the social services infrastructure should put us right on track. You at the domestic abuse shelter, quit trying to reach out for help.
Comment by Langhorne Friday, Nov 20, 15 @ 8:56 am
Like my old pal Confucius told me at Brown’s once, in a country well governed, poverty is something to be ashamed of. In a country badly governed, wealth is something to be ashamed of.
Comment by LizPhairTax Friday, Nov 20, 15 @ 9:04 am
Thanks for posting that chart Grandson of Man. One chart can sum up the anxiety in this country over the economy. The difference in median family income today vs 2007 is absolutely astonishing.
The highest income state Maryland has an average income down over $17,000.
Hawaii is down $35,000
Illinois being down only $1,828 leaves us relatively well off.
No wonder there are so many unhappy people out there and so many nervous incumbent politicians.
Comment by Lucky Pierre Friday, Nov 20, 15 @ 9:09 am
That’s an interesting thing for him to say, but I’m also curious if that was maybe a shot at his pal Bruce.
Comment by Team Sleep Friday, Nov 20, 15 @ 9:10 am
I’m always curious, if not disappointed, why people in positions of power and elected officials talk down our state. I’d rather see an unapologetic cheerleader to encourage and promote our state in the hope of attracting business than the constant litany of ‘what’s wrong with our state and why it sucks to live/do business in the state.’ Do we have our fair share of problems? You betcha, but they should never lead or dominate the comments by persons in those positions; rather, they should be mentioned as areas where improvement is needed after listing all the many virtues our state has to offer.
Comment by Tommydanger Friday, Nov 20, 15 @ 9:23 am
Oh for the good old days when rich guys just bought sports teams.
Comment by GA Watcher Friday, Nov 20, 15 @ 9:28 am
Stick to you day job Ken, you seem to have a knack for it. As for running state government, we have a knack you obviously lack.
$7 Billion, but can’t buy a clue.
Comment by VanillaMan Friday, Nov 20, 15 @ 9:39 am
Doesn’t make a difference if he is worth $100 or $7 billion, he is correct.
If he was worth only $100, he’d have a better handle on what governments do. He’d know people working with the poor. He’d know what it means to struggle. He’d know how important food, heat, clothing and education is for his family. He would know what it means to be unemployed and depending upon government for a Link card.
He might not have been on CNBC to spout off against his home state and insult everyone doing their best to keep our state government servicing citizens, but he would definitely be a whole lot smarter, humbler and better educated than he currently is.
Comment by VanillaMan Friday, Nov 20, 15 @ 9:43 am
Bruce Rauner is the answer to the question of whether the super wealthy can be bought and paid for by the uber wealthy. Being a tool knows no income bracket.
Comment by Johnnie F. Friday, Nov 20, 15 @ 10:08 am
== IL government can’t control its spending. ==
Illinois State govenment consistently ranks among the lowest spending states, on both a per capita basis and as a percent of state GDP.
Comment by nona Friday, Nov 20, 15 @ 10:12 am
Griffin made the vast bulk of his fortune through an economically unproductive activity - high speed trading. Citadel recently filed a letter of objection with the SEC to a company called IEX (they have a website) decrying IEX’s proposal to create a stock exchange that implements a “speedbump” on all orders that takes away the front-running advantage that has made a lot of firms a lot of money, and makes stock trading much fairer for institutional (pension funds, for example) and retail investors (little guys). There is nothing admirable about Griffin or his fellow Randian, Rauner. They use their vast wealth to buy toys for themselves.
Comment by Willie Stark Friday, Nov 20, 15 @ 10:23 am
===Illinois’ population is 4 percent of the nation’s, but it gained 5 percent of last month’s robust 271,000 new jobs. The Illinois Department of Employment Security (IDES) announced today that Illinois’ nonfarm payroll employment gained +14,100 jobs and the unemployment rate in October held at 5.4 percent, based on preliminary data released by the Department and the U.S. Bureau of Labor Statistics (BLS).===
All of that with the Rauner budget hostage crisis. Just imagine what the economic outlook would be if our state government actually was governing.
Comment by Bulldog58 Friday, Nov 20, 15 @ 10:25 am
So Vanillaman, you have the knack to run state government? That is what you are claiming?
Comment by anon Friday, Nov 20, 15 @ 10:39 am
===So Vanillaman, you have the knack to run state government? That is what you are claiming?===
Are you claiming Bruce Rauner does have a knack to run state government?
Comment by Oswego Willy Friday, Nov 20, 15 @ 10:45 am
Funny that as economically depressed as we apparently are we manage to be one of the 5 or 6 states that sends out way more money than we get back from the Feds.
If those taker states are going gangbusters maybe we could keep some of that for ourselves.
Comment by Daniel Plainview Friday, Nov 20, 15 @ 10:45 am
Job growth in IL is driven by Chicago. The state as a whole had 14K new jobs in October. Chicago metro had 28K new jobs in October. The rest of IL is doing very, very poorly.
Comment by Tone Friday, Nov 20, 15 @ 10:47 am
“Funny that as economically depressed as we apparently are we manage to be one of the 5 or 6 states that sends out way more money than we get back from the Feds.”
Which is a catastrophe. Our congressional representation is awful.
Comment by Tone Friday, Nov 20, 15 @ 10:48 am
As for running state government, we have a knack you obviously lack.
Google the definition for the word, “we”.
Comment by VanillaMan Friday, Nov 20, 15 @ 10:52 am
Who is “we?” And, how long have “we” shown this knack to run state government?
Comment by anon Friday, Nov 20, 15 @ 10:54 am
===By no measure or definition is Illinois “economically depressed.”===
By this measure IL is. Ranked 48th by Chief Executive Magazine in both 2014 & 2015:
http://chiefexecutive.net/2015-best-worst-states-business/
Comment by justacitizen Friday, Nov 20, 15 @ 10:59 am
Did somebody mention The Knack?
https://www.youtube.com/watch?v=A1cKQzK83-c
Comment by 47th Ward Friday, Nov 20, 15 @ 11:04 am
Justacitizen: sorry, the article you cited does not measure “economic growth”
Comment by walker Friday, Nov 20, 15 @ 11:37 am
===Silly CEO’s!!===
I saw then once in Phoenix, they opened for “Unintended Consequences”.
===Yeah, what do those Chief Execs know?===
One of their own is really strugglin’ at this whole governin’ thing, that’s for sure.
Comment by Oswego Willy Friday, Nov 20, 15 @ 11:53 am
If it was easy, everyone would do it. Don’t wish it was easier, wish you were better.
If it is easy to be Ken Griffin, go do it, reap the rewards.
Comment by anon Friday, Nov 20, 15 @ 12:00 pm
- anon -,
What are you trying to say? You’re making no sense.
Use all your words.
Comment by Oswego Willy Friday, Nov 20, 15 @ 12:04 pm
If it is easy to be Ken Griffin, go do it, reap the rewards.
I don’t want to be Ken Griffin. I want him to be the best Ken Griffin he could be! What he needs to do to reach that level is to find better answers to questions he has no credibility in answering!
Being an expert in one field, doesn’t mean you are an expert in every field. Being rich, doesn’t make you smarter. Know when someone asks you a question you can’ answer, and then refer the questioner to the best source for the answer.
Perhaps he believed what he said, but what he said was quite ridiculous. He is rich. Perhaps he can hire someone to help him better chose his answers, so that he doesn’t look so foolish.
Comment by VanillaMan Friday, Nov 20, 15 @ 12:23 pm
Justa, you are free to educate yourself on the definition of “depression” in regards to economics any time you’d like.
Strangely, it doesn’t involve a poll, but actual empirical evidence.
Comment by Anonymous Friday, Nov 20, 15 @ 12:40 pm
Remember last month when Illinois had a bad jobs number and this board, including Rich, were talking about how Rauner “owned” it? That’s right here:
https://capitolfax.com/2015/10/21/fun-with-numbers-42/#comments
Now there’s a good jobs number (one month in a row and counting!) and it’s time for Griffin to “own it” and eat crow?
So which is it? Are the jobs numbers good, or bad, or are we just making it up as we go to take potshots month to month?
Comment by Straight no Chaser Friday, Nov 20, 15 @ 12:51 pm
===So which is it? Are the jobs numbers good===
They’re good. Sheesh. What else do you want?
Comment by Rich Miller Friday, Nov 20, 15 @ 12:55 pm
Straight, no worries.
Both Griff, worth $7 billion, and Rauner, self-described .01 percenter, who made their fortunes in Illinois, are consistent in their belief that Illinois is a lousy place to do business.
Of course, their misfortune is because……Madigan.
Comment by wordslinger Friday, Nov 20, 15 @ 12:59 pm
And Rauner did what to deserve credit? Of course, the answer is nothing. However, as Willy rightly points out governors own so Rauner will get the credit anyway despite his dismal 11 months in office.
Comment by Norseman Friday, Nov 20, 15 @ 1:03 pm
Great to hear, Rich!
Poor Ken. He should have made his comment in July, August, September, or October, when Illinois had job losses, so then it would be true. But since he said it in November, after a report of single month of jobs gains, it’s a foolish thing to say.
#analysis
Comment by Straight no Chaser Friday, Nov 20, 15 @ 1:13 pm
Both Griff and Rauner make their money globally, they happen to be based in Chicago. Shouldn’t be hard to figure that one out.
Willy, if you can’t figure out what I posted at high noon, that’s on you. You own it buddy!!
Comment by anon Friday, Nov 20, 15 @ 1:26 pm
Wordslinger, is it possible to entertain these two ideas in your wonderful noggin at the same time?
1) The tough business climate in Illinois, like in many deep blue places, does not do much to hinder tech workers, financiers, etc. They require very little in terms of space, machinery and equipment, etc relative to their revenue.
Work comp, torts, employment insurance, property taxes, etc aren’t necessarily decision drivers for these guys.
2) Other industries that produce goods, are very cyclical, and involve more physical and product risk are very much affected by the “anti-business” climate. Manufacturers, builders, transpo workers, etc.
If you can get that then you’ve solved the riddle of why the high school graduate middle class is an endangered species in blue states.
Comment by Straight no Chaser Friday, Nov 20, 15 @ 1:29 pm
===Both Griff and Rauner make their money globally, they happen to be based in Chicago. Shouldn’t be hard to figure that one out.===
Why be based of of such a lousy state? They make all this money globally I mean. A head-scratcher, but I’m sure you don’t know either. They have a whole glove, Griffin got married in France, but… still here. Why? ‘Cause it’s lousy?
===You own it buddy!!===
Aw, you can take shots of alcohol all you want, all day, you don’t have to justify it with the word “own”.
Comment by Oswego Willy Friday, Nov 20, 15 @ 1:31 pm
I can’t believe I’m writing this, but if by “can’t control its spending” Ken means the Pension Clause, he has a point.
Of course the flip side is IL can’t control its taxation, either, namely higher progressive taxation on Ken Griffin, to help resolve problem #1.
Somehow I’m doubting Ken has any problems with that one.
Comment by ZC Friday, Nov 20, 15 @ 1:32 pm
===Justacitizen: sorry, the article you cited does not measure “economic growth”===
Walker, I thought the supply/demand curve had something to do with GDP:
•State GDP
•% Growth ’12-’13: 0.90
•% Growth ’12-’13 v. Nat’l Avg. (1.80%): -0.90
Comment by justacitizen Friday, Nov 20, 15 @ 1:38 pm
KG “made” $1.3 billion last year, or more than 20 times what Rauner “made.”
http://fortune.com/2015/05/05/the-highest-paid-hedge-fund-manager-only-made-1-3-billion-last-year/
5% - 3.75% = 1.25%
1.25% of $1.3 billion is $16.25 million.
Willie Stark is on the mark.
For the six years through 2013 the U.S. stock market gained 44%.
Citadel’s two main hedge funds gained 45%.
Citadel’s Tactical Trading fund (high-frequency trading) gained more than 300%.
http://www.bloomberg.com/news/articles/2014-04-11/citadel-fund-said-to-quadruple-with-high-frequency-trades
High-frequency trading basically rips off Mom and Pop by front-running the trades that their mutual funds are making. If hedge-fund managers made their money by doing their homework and evaluating companies more wisely than others, that would be one thing. The fact that Citadel’s main hedge funds basically tracked the market indicates that’s not the case. It’s hard to avoid the conclusion that they actually profit largely by gaming the system and buying off pols to slant the playing field in their favor.
Comment by Anon Friday, Nov 20, 15 @ 2:57 pm
Straight, “red” or “blue” determines economic activity? Politicians of a particular party? That’s hilariously simple-minded.
Ask your mom to take off the parental controls and use the google to educate yourself on the manufacturing, transportation and construction sectors in Illinois compared to other states.
Or, go down to MS, AR, or AL and revel in their “deep-red” Utopias of economic opportunity.
Comment by Wordslinger Friday, Nov 20, 15 @ 3:32 pm