Sex & Politics

Apparently Obama and the Dems are dancing around the issue of nationalizing the banks. The problem is when you shovel public money at institutions that would fail if you weren’t giving them the money, then you have essentially nationalized them anyway. The problem with not making it official is that the banks still have the ability to make their own decisions and decide what their going to do with the public dollars, which as we all know, is never in the best interest of the public. From NYTimes:

Only five days into the Obama presidency, members of the new administration and Democratic leaders in Congress are already dancing around one of the most politically delicate questions about the financial bailout: Is the president prepared to nationalize a huge swath of the nation’s banking system?

Privately, most members of the Obama economic team concede that the rapid deterioration of the country’s biggest banks, notably Bank of America and Citigroup, is bound to require far larger investments of taxpayer money, atop the more than $300 billion of taxpayer money already poured into those two financial institutions and hundreds of others.

So how you’re going to keep shoveling billions of dollars into the black holes that are these banking institutions and not give the public any return on their dollars? How are you going to allow these institutions to continue on with business as usual and not force them to do with the funds what the bailout was originally for, namely extending loans to people who need them?

Instead, these banks are fattening their coffers, shoring up their bottom lines and remodeling their offers with public money, but we’ve deemed them “too big to fail.” Bullshit. Either you let them fail or you take them over. This in between ish has got to end.

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