I’m not an economist and I don’t have an MBA, and my oh my, it’s all oh sooo complicated that us common folk can’t begin to understand what the really smart wall streeters are doing as all that money goes round and round, but this is the last straw. Or it should be.
Bloomberg News is reporting (see Jon Stewart clip in previous post) that the TARP bailout was only one small part of a mountain of cash the Fed continues trucking over to the greedheads on Wall Street because they are “too big to fail.” The original TARP bailout was an authorization for the Treasury Department to buy or insure $700 billion in junk assets.
Bloomberg is reporting that the acutal amount of the bailout will run something above $7.7 trillion.
$7.7 trillion in taxpayer’s money flowing from the Fed to the banks without Congress knowing about it? Is the entire Congress in a coma? Is anyone running the country?
But it gets even better. According to Jon Stewart, who, due to a lack of serious investigative journalism in mainstream television news is rapidly becoming a contemporary equivalent of Walter Cronkite, big bankers are borrowing the $7.7 trillion from the Fed at below market rates and are then investing it in T-bills at rates that are higher than the rates they are paying for the loans.
Get it? They’re “borrowing” money from us at a ridiculously low rate to invest in securities we offer and insure at a higher rate, so that they can force us to pay them even more money in interest. In the end, they make billions and produce nothing. Around and around the money goes, and the rich keep getting richer while the American middle class struggles to buy Christmas presents for their kids.
Kinda sounds like criminal activity, doesn’t it?
If the Congress didn’t know it was happening, now they do and people should be going to jail. If the Congress knew it was happening but covered it up, then perhaps the entire Congress should…….what? This is our money that’s being looted, but what the hell are we supposed to do? When if ever will the mainstream media begin giving Bloomberg’s story the attention it deserves?
Or is it too late for that? Is it over? Are we just going through the steps, sleepwalking through a bogus political process with endless Republican debates while in reality any semblance of a real democratic process is dead?
Or maybe it’s really just not all that serious. I’m probably missing something. We common folk can’t hope to understand the complex financial machinations of the high-rollers on Wall Street and our trusted financial gatekeepers at the Fed. They’re so much smarter and better than the rest of us. That’s why they have all the money. Otherwise, it might all be nothing more than one big criminal conspiracy. But that’s just not possible, is it? Not here in America?
By mere coincidence the front page of the Los Angeles Times website this morning features the story “Riot police add’ sound cannons to arsenal…….the devices joining Tasers, rubber bullets and pepper spray in law enforcement’s expanding array of nonlethal weapons.”
Somebody has to protect the robber barons, and that, presents a very real double-edged sword for the cops, who are forced to go out and defend the high-rollers criminal activity even while those very same high-rollers plot to do away with police and fire unions, and all at our expense.
Speaking of which, the Los Angeles Times also reports that “More than 200 Occupy L.A. protesters remain in jail………Civil rights attorneys say many of them may not be charged and should be freed immediately. Most of the arrestees, who face a minimum bail of $5,000, are young, white and male.” The paper quotes Carol Sobel, an attorney who is advising the protesters as saying: “They’re being punished for being a part of Occupy L.A.”
The arrestees the newspaper reports, include “79-year-old Dorothy Sarnoff of Highland Park, (who) turned 21 during the Eisenhower administration.”
Remind me again, please. How many wall streeters have been taken to jail for looting the nation’s treasury? And now these Occupy folks are being left to sit in jail on misdemeanor charges? Outrageous.