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THE SQUANDERING OF TRILLIONS
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I oppose the trillions of dollars in government spending packages. I believe that many of our elected officials have made hasty decisions influenced by panic, corruption and poor information. I believe that many of us, our legislators included, are failing to see what it is really going to take to get hardworking Americans and American businesses back on their feet.
Our politicians are acting as though they have the wool pulled over their eyes. They don't seem to see that squandering trillions of dollars into institutions and government bureaucracies, without conditions, or assurance of actually bringing economic relief to the American people, is absolutely unconscionable.
Even if the bait and switch Tarp, and nearly 4 trillion power grab Stimulus Package, was not an unethical government Ponzi scheme, which it was, the bailed out banksters such as Goldman Sachs, Bank of America and Wells Fargo, ought have had, and should have, been required to make a commitment that none of the bailout funds could be used for lobbying, controlling the market by buying their own stock, or acquiring properly run smaller banks. Now, our government and their bankster masters have essentially turned the Department of the Treasury and the Federal Reserve into a complicated holding company, fueled by state subsidized hedge fund profiteering, at the expense of future generations of unwitting American taxpayers.
ALERNATIVE SOLUTION
While President Obama's administration has promoted worthwhile goals, such as improving education, water and transportation infrastructure, and clean energy technologies, the benefits of these good projects are overshadowed by a massive amount of proposed wasteful spending that has nothing to do with job creation or economic growth. Our American children and their children's children should not be burdened with this debt.
I’d like to see less spending, and better targeting of funds in a more realistic way. For instance, there are plenty of institutional investors here, and around the world, that purchased pools of Triple A rated mortgage paper from our largest American banks. That paper did not turn out to be Triple A like it was supposed to be, and investors in America and around the world were badly burned. They started to stop buying that bogus Triple A paper about three years ago, and the worldwide secondary market collapsed entirely about two years ago.
That is what caused the mortgage crisis that precipitated the world economic crisis, because our lenders have got to have a robust secondary market in order to initiate new loans. Without a secondary market they can never make many new loans, no matter how much taxpayer money they take.
Therefore, what our government needs to do, to restore confidence in the worldwide secondary market, is not to throw trillions at the banks, or the Wall Street elite. We should simply stand behind and insure the Triple A rated paper that our American banks sold in the first place.
Our government was grossly negligent in failing to oversee the bank's rating agencies, and instead of squandering what will eventually amount to trillions, to prop up the lifestyles of corporate folks, what should be done first is to make sure that the institutional investors that our financial institutions damaged, are made whole. If our government made a commitment to do that, then you can bet it would finally have the motivation to see those egregious loans modified.
America and the American people don't have to admit fault, because it is not our nation that is at fault. It is financial institutions and corporations that bullied our legislators into this. America simply needs to show our economic partners that we have the character to stand behind the things we export.
Even bad loans.
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