Why you pay what you pay.
Why you pay what you pay. - 
Listen To The Story

A new Wall Street Journal report by Kate Linebaugh says a good deal of the estimated $1.7 trillion in foreign assets American companies have is actually sitting in U.S. banks. How does that work?

"It's a technicality, this is just sort of how global banking works," says Linebaugh. "Companies have been expanding overseas and a lot of their income is earned from developing markets around the world or from Europe and it is just being kept in U.S. securities or bank accounts or U.S. government bonds because they are very safe."

Linebaugh says this situation lays bare how the current tax situation isn't serving anyone.

"The U.S. Treasury is not getting the revenue they expect to be getting from corporate earnings and corporations are not able to use those funds in the ways that they want," says Linebaugh.

“I think the best compliment I can give is not to say how much your programs have taught me (a ton), but how much Marketplace has motivated me to go out and teach myself.” – Michael in Arlington, VA

As a nonprofit news organization, what matters to us is the same thing that matters to you: being a source for trustworthy, independent news that makes people smarter about business and the economy. So if Marketplace has helped you understand the economy better, make more informed financial decisions or just encouraged you to think differently, we’re asking you to give a little something back.

Become a Marketplace Investor today – in whatever amount is right for you – and keep public service journalism strong. We’re grateful for your support.

Follow Mark Garrison at @GarrisonMark