TB, we ALL know the answer.
The money goes into Ponzi schemes disguised as financial instruments that produce paper profits that go to a handful of investors, both individuals and funds, of which a small percentage winds up in offshore numbered accounts, free from taxation, I assure you. The trillions lost in the stock market last year weren't lost, TB, they never existed in the first place. The whole country took a tremendous hosing so a handful of men and companies could get very rich, and those people and firms did not produce one damned thing.
The Neocons and their Conservative lapdogs have presided over one of the most devasting ripoffs of all time. And they did it without creating one single job.