Saving the Top

Elizabeth Warren, the chair of the Congressional Oversight Panel created to oversee the U.S. bank sector bailout (TARP) discussing how the elite financial echelon has been rescued from their own folly while those workers at the bottom tier of the economy have been mercilessly thrown under the bus…

“The way I think of it is: they say something like ‘Give me your money, investors and I’m going to Las Vegas and put it all on red 22. And if red 22 comes in — Woo! We are RICH! If red 22 doesn’t come in, don’t worry because the taxpayers will pay you back the money you invested.”

Interesting to see Sir Harold Evans popping up here … More about him in due course.

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3 Comments

Filed under Economy

3 responses to “Saving the Top

  1. burpster

    Personal opinion, but I think the US reached it’s “best before date” back in the 70’s. Corporations and Wall St. will be the ruin of the US, along with military budgets that exceed the rest of the world’s. Something will have to give at some point.

  2. Economically speaking — in terms of the “middle class” — you’re right on the money. It’s all been gradually downhill since that time.

  3. Jim

    Wall St and mega corps will most certainly be the downfall of the USA as long as they know the public taps are wide open.

    Funny that the timeframe you mention is right when the US govt thought it was a good idea to bail out Chrysler (the first time). It put them on the runaway train called corporate welfare.

    Throw money at one, suddenly everybody wants in.

    Government should NEVER use taxpayer money to rescue business. Farm subsidies are a different thing IMHO…I just wanted to qualify that.

    Anyway, I run a small business and there is no bailout or even an interest free loan for me. There is only success or failure. Such is the way it should be in business.

    Bailing out banks and investors is beyond the pale to me. How is it that banks can post the kind of profits they did for years at a time and suddenly be insolvent? Easy answer…greed…alot of people made huge money in this recession. Moves were made to spike the market and then rape it for profit…remember $147 a barrel for oil?

    Thankfully, no Canadian banks were sucking up for taxpayer rescue…but I was really angry that the Conservatives gave $13B to the US car companies.

    If we were going to risk pissing away that kind of money, we should have given Frank Stronach of Magna a $10B interest free loan to build a truly Canadian car. Or if the CPC wanted to own Quebec for the foreseeable future…set Bombardier up in the car building business.

    We would have a better chance getting our money back from Frank, though.

    We are the only G8 country that doesn’t build our own brand of car!?!

    I’d buy a Magna, sounds cool and they have a proven record in the automotive industry…the big B, not so much.

    But I digress.

    Stimulus spending should have incorporated a couple of billion into small business investment and development.

    There are over 900,000 small businesses in Canada, employing between 1 and 20 employees…that is a lot of citizens.

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