We are still suffering the effects of economic collapse, brought on by the greed of criminal Banksters. In spite of that, they still threaten our economy, because they own the Republican Party, lock, stock and barrel, in addition to a significant minority of Congressional Democrats. A new report from community banks and a new segment from Bill Moyers Journal, demonstrate this well.
The Independent Community Bankers of America released a report on Wednesday that examines the impact of too-big-to-fail institutions on the American economy and why the problem needs to be addressed.
“ICBA is pleased to unveil this comprehensive report, which is an excellent roadmap for helping everyone from consumers to policymakers understand how too-big-to-fail affects our nation’s economy and what they can do to help bring an end to this dangerous practice,” ICBA President and CEO Camden R. Fine said. “As we outline in the report, too-big-to-fail distorts free markets, incentivizes risky behavior, holds taxpayers hostage to bailouts, and creates unfair competitive advantages for the largest banks. But there is perhaps no greater reminder of the too-big-to-fail impact than the constant, oppressive regulatory burdens that community banks face on a daily basis. I encourage everyone who feels passionately about the health of our financial system to read this timely report.”
The report found that the 12 largest U.S. banks hold nearly 70 percent of all industry assets and that they get credit at rates “that do not reflect their true risk—rates that are subsidized by an implicit taxpayer guarantee.”
Additionally, the report pointed to a recent statement by Attorney General Eric Holder, in which he said the Department of Justice is aware that megabanks are TBTF. The report said the banking industry will increasingly become more concentrated as long as the problem of TBTF remains…
Inserted from <Bank Credit News>
Photo credit: Demos.org
You can read the ICBA Report here.
Bill Moyers also provided some excellent coverage on this subject.
Pulitzer Prize-winning New York Times columnist Gretchen Morgenson tells Bill that, five years after the country’s economic near-collapse, banks are still too big to fail, too big to manage, and too big to trust. Stockholders’ reaffirmation of Jamie Dimon as JP Morgan Chase’s chairman and CEO this week — despite a year of accusations and investigations at the bank — is further evidence, she says, of an unchecked system that continues to covet profits and eschew accountability, putting our economy and democracy at risk. Morgenson also discusses how behemoth companies like Apple manipulate the system and avail themselves of the biggest tax loopholes money and influence can buy…
Inserted from <Bill Moyers Journal>
Gretchen summarized the problem well, when she said, "There was just no shame." This smugness is part of the reason that TBTF = Too Big to Exist. I do not believe that we can have economic sanity in this nation until we break them up in addition to reinstating Glass-Steagall. They are demonstrating now that they are also Too Big to Regulate. To do that we need to replace the Bankster Bought in Congress with progressive legislators.
As the House Oversight and Government Reform Committee began a hearing Thursday morning on the Obama administration’s rule mandating free contraceptive care for employees at religiously-affiliated institutions, New York Congresswoman Carolyn Maloney had a question for the panel: "Where are the women?" she asked.
Bill Moyers talks with former Senator Byron Dorgan about making sure big banks play by rules that protect consumers from financial calamity, and how those big banks continue to leverage power and influence to avoid responsibility while maximizing profits. Dorgan was a nearly-lone voice in Congress in 1999 when he predicted economic calamity following a repeal of the Glass-Steagall Act and its protective measures. But given the economic meltdown nearly 10 years later, it turned out to be one of the most prescient speeches in American political history.