Monday, December 10, 2012

Subsidies for MegaBanks

This article, from before the election, reads like a recap of Romney's campaign failure.  This was not truly a failure because Romney couldn't speak out against the bank subsidies.  The Libertarians could have taken this issue and attracted Tea Party and Occupy Wall Street voters.

Mitt and the Moochers
Romney is right to raise the issue of subsidies, but he badly misstates what has happened in the US during the last four years. The big, nontransparent, and dangerous subsidies are off-budget, contingent liabilities generated by government support for too-big-to-fail financial institutions.  These subsidies do not appear in any annual appropriation, and they are not well measured by the government - which is part of what makes them so appealing to the big banks and so damaging to everyone else.
If only Romney had turned popular disdain for subsidies against the global megabanks, he would now be coasting into the White House.