Geithner is a Thief

During lunch I was watching C-Span, as congressmen grill Sec of Treas Geithner. Geithners defense is two-fold: if they had not acted, the coonsequencs would have been worse. The taxpayers will not lose a dime on the bailouts.

The first point is ahistorical, we did the bailouts, so we cannot know it would be worse. A premise that is historical is without bailouts, matters would be better. WE have countless examples of no bailouts/better results in history.

Geithner insists that all of the Goldman Sachs employees that are working for the banks in govt positions have the best intersts of only the taxpayers in mind. Apparently he has never heard of "moral hazard."

As to the fee on the banks that will recover teh billions the taxpayers lost, just who does Geithner think will pay those fees? Not the banks, the banks custoemrs. And now with "get big or get out" concentrating the baking biz in fewer and fewer hands, it is the very taxpyers who were burned who will make up the loss, just after the banks turn a profit on the taxpayers loss.

Politics are getting ever rawer in USA. That not a single congressman on the committee called Geithner on this Econ 101 point illustrates how uninterested politicians are in the taxpayers welfare. It does not matter if you suffer, these people would rather rule over ruins than lose their position as a consequence of admitting their greed.

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