They say they want less government. They say they don't want the government bailing out failing businesses. Government bailouts = deficit spending. Deficit spending = BAD. They say, "Let 'em go broke! Survival of the fittest." Fair enough.
So federal financial regulators finally got the Volcker Rule passed. This rule prohibits banks from taking depositors money and investing it (gambling with it) in certain high risk ventures. They've been doing this for years, much to their advantage. Usually. If all goes well, the bank's shareholders (NOT the depositors) make HUGE profits, and the bankers individually get HUGE bonuses.
But if things go badly, such as what happened back in 2008, they simply run to Congress asking for a few hundred billion (with a B) dollars or they say they'll close their doors and take the economy down with them.
If things go well, THEY win. If thing DON'T go well, THEY don't lose, the TAXPAYERS do. Sweet deal, huh?
The Volcker rule is good. It reduces the likelihood the banks will ever need a taxpayer bailout. The bankers, of course, don't like it because in gets into THEIR pockets. They were quite happy with things the way they were.
Give a guy a suit and a haircut and some little tiny glasses....
Enter The Honorable Gentleman *snicker* and Tea Party darling, Congressman Jeb Hensarling (R-TX). He's the Chairman of the House Financial Services Committee, the folks that oversee the banks. He will soon be proposing a new bill that will open up a HUGE loophole in the Volcker Rule, essentially allowing the banks to go back to doing business much like they used to.
Let's review:
The Tea Party does NOT want to bail out failing businesses, including (presumably) banks.
The Volcker Rule makes banks act more prudently.
The Tea Party LOVES Jeb Hensarling.
Jeb Hensarling wants to open loopholes in the Volcker Rule that will allow banks to gamble again, increasing the odds banks will some day need another taxpayer bailout.
Does this make any sense?
I wonder how much the banks "donated" to Mr. Hensarling? Wonder how many of his friends and relatives and supporters have received "sweetheart" deals, or maybe employment, from the banks? (There are lots of ways to reward friends.)
How many times do I have to write about this? Vote the bums out. Or send really mean emails, or riot, your choice. ;)
S
