“Too Big to Fail:” a Bailout Hoax

excerpts from http://www.counterpunch.com/zadeh01302009.html

Using the “too big to fail” scare tactic, the U.S. government has kept a number of terminally ill Wall Street gamblers on an expensive life-support system that is estimated to cost taxpayers $8.5 trillion [1]. In light of the fact that (according to IRS Data Book) there were 138 million taxpayers in 2007, this figure represents a burden of $61,594.20 per tax payer. Or, to put it differently, it represents a burden of $28,333.33 per man, woman and child for the entire U.S. population. . .

government policy makers, Wall Street financial gamblers, and the mainstream media are misrepresenting the ongoing financial difficulties as a problem of illiquidity or lack of cash. In reality, however, it is not a problem of illiquidity or lack of cash, but of insolvency or lack of trust and, therefore, of hoarding cash. The current credit crunch is a symptom, not a cause, of the paralyzed, unreliable financial markets. . .

while Citigroup’s ownership remains legally in the existing private hands, taxpayers have, in fact, paid for the company’s net market value of $20.5 billion 17 times over with the $351 billion paid to date . . .indicative of the fact that government policy makers are more committed to the interests of Wall Street gamblers than those of taxpayers. . .

one definition of capitalism is that it is a system of socializing losses and privatizing profits. . .

There’s ‘corporate governance’ for you—they simply run the country. Administrations exist. Corporations govern. . .

nationalization of insolvent banks would, of course, require new politics on the part of the people who are suffering the most from the daunting economic hardship but do not seem to have a voice or representation in the fraudulent process of the bailout scam, which means the overwhelming majority of the American people. . .

The new politics has to go beyond the traditional channels of demanding change. It needs to draw upon the lessons of the protest movements of the 1930s that squeezed all kinds of economic guarantees and social safety net programs (known as the New Deal reforms) out of the Congress and the FDR administration.

The financial-corporate governments rarely, if at all, carry out grassroots-targeted reforms voluntarily. Only people pressure, pressure that would include a sustained and widespread protest movement, that is, pressure that would threaten the status quo, can bring about reforms that would benefit the grassroots.

In other words, CHANGE !


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