So now the federal government wants you to believe that the massive TARP bailout will cost taxpayers "just $25 billion" in losses -- that's a quotation from the Los Angeles Times, as I could never put the word "just" in front of "billion" otherwise.
Here's why I think this number is BS:
Not only did the banks get the TARP bailout, but they have also been able to "borrow" money from the Fed for near-zero interest rates, while lending it to you and me at double-digit interest rates via credit cards. That is a massive subsidy right there.
Plus, the banks have been able to use money they "borrow" from the Fed to "buy" bonds from the Federal government that pay rates higher than the Fed charges them. Subsidy again. Think about it: we are lending them the money which we then turn around and borrow from them at a higher interest rate. How is that not a taxpayer rip-off?
So I, for one, don't believe for a minute that bailing out all those billionaire investment bankers was a bargain. I believe we are losing, and have lost, much, much more than "just $25 billion."
But for the sake of argument, suppose the "just $25 billion" figure is true. What does that tell you about the original "crisis?" It tells you all the supposedly "trouble assets" weren't troubled after all. It tells you we were told we had to shell out $700 billion to "save" all those noble billionaires, when in fact the assets in issue were worth $675 billion -- thereby causing the shortfall of "just $25 billion."
Do you buy that? Yeah, me, neither. After all, how many gazillion homes have been, are now in, or are headed towards foreclosure?
What does it all mean? It means the latest numbers, like the original ones, add up to this: the government has no idea what it's doing with our money, and how much it is costing us.
This ponziconomy is toast. Soon, there will be plenty of work for lawyers defending the treasonous scum who brought this about-then there will be hangings a plenty in what's left of America.
ReplyDeleteTARP will go down as the largest free gift to the banking industry in WORLD HISTORY. The banks now sit on all that cash, buy T-Bills with it, pay the Government nothing and keep the tip. Then they'll get the Fed to raise rates after they unload most of their forclosures and then LEND THE MONEY ON THOSE ASSETS AT HIGHER INTEREST RATES!!!! The American Voter is so God damn STUPID, not even in French could I begin to describe this.
ReplyDeleteBy the way, how about Walter picking up a few
'95 or '96 Clos D'Ambonnay? What does this mean? What do these big words mean? Discuss...
You want numbers, I'll give you numbers!
ReplyDeleteCity Council can't/won't address/solve budget issues, they can't won't clean up the management problems at DWP, the can't/ won't move forward with getting rid of the crook Alarcon, they can't/won't cancel the subway to the sea, but somehow they can dream up the recycle bin police program - now how much is that going to cost, like how many new employees will need to be hired/trained, and how many vehicles will be required to circulate the recycle bin police around the City, I can't wait to see the new recycle bin police uniforms, etc.
In my neighborhood the blue bin is emptied between 6:45 and 7:15 am - how will the bin police actually inspect all of the bins before the truck gets here? Oh well, the Hill Street Gang never worries about petty little details, it's important that they can be seen actually doing something - you know, create some more ordinances to spend more of our money with no input from the public.
That's why we have no choice but to give them the only referendum they understand, don't relect them.
Janice - your days are numbered.
!f giving one or many black eyes would do any good, let's give it a try. Trouble is, they are good at ducking, very good. All you would is miss and hit yourself.
ReplyDeleteDon't forget the trillions in off balance sheet transactions by the federal reserve. We are on the hook forever.
ReplyDelete