Too Big to SAVE?
Monday, March 2, 2009 16:26We hear much about institutions being too big to fail, and so, the taxpayer is expected to bear any cost to save large financial companies. We think that the more relevant question to ask is whether these institutions are too big to save?
With the passage of the most recent bailout bill, the taxpayer is now on the hook for a total of $9.5 trillion, almost enough to pay off every mortgage in the county. To put it in perspective, $9.5 trillion is more than the COMBINED GDP of Italy, Spain, Canada, Brazil, Russia, India, and 167 more countries! It is bigger than world GDP minus the top five countries.
Citigroup and Bank of America alone have cost the taxpayer $500 billion in direct injections and asset guarantees. Half a trillion is more than the annual GDP of 161 out of 179 countries (90% of all nations).
Even when compared to the massive $13 trillion US economy, the tab comes close to 80% of GDP and, more importantly, 5 times the amount the government takes in each year in tax revenues.
Numbers such as 20-30 billion are thrown around as if they’re inconsequential but we must realize that when we bailout these massive institutions we are bailing out the equivalent of nations. Think about it – Can The United States afford to dish out 100% of GDP to 161 countries? It’s an absurd question, though it is exactly what we are doing.
So why are they doing this? Surely, the Government consults with some of the best economists in the world. Surely, they’ve been advised that saving DEPOSITS and not toxic banks is what’s important. Surely, they’ve been advised that cutting taxes to ZERO for 5 years would have been more beneficial, and more evenly distributed, for the economy than giving an equivalent amount to only a few financial firms. Surely, they must know that even $700 billion levered 10-to-1 as banks do, would have created $7 trillion in new money though this money is no where to be found in the system.
The failure of this economy is the failure of big business. Each major sector of our economy is dominated by a hand full of monster corporations who make it impossible to compete. Impossible for workers to challenge as their jobs are shipped overseas. Those jobs have been shipped out in droves, and while it was good for quarterly earnings reports, the results have been horrific on the national economy.
Should only a few big companies control our media, banks, food supply, oil supply, and other essential commodities? If allowed to continue, what would the world look like in 20-30 years? One gigantic corporation?
If the economy was left on its own, big business would collapse and the world would return to a more regional economic structure with an explosion of small businesses as the bariers to entry fell.
The power structure in the US is determined to hold onto control even if it means bankrupting the nation. They are very generous when it comes to our money.
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robertsgt40 says:
March 3rd, 2009 at 10:46 am
Good article. This is all by design. A deluded person may think that somehow our govt has our best interests at heart. Govt is run by international finance and transnational corporations. The ultimate end will be a fascist planet with one ruling autority….by design.
Michael Joseph says:
March 3rd, 2009 at 11:30 am
The “toxic” subprime securities are supposed to total 1.5trillion from what I have read, other numbers are 65Trillion for the world TOTAL of these type derivatives and
600TRILLION global total of all types of derivatives and that is just the derivatives instruments.
NOW does that bind up all financial intruments in the world into derivatives?
These numbers make the 1.5trillion Toxic subprime stuff seem trivial and a destraction from
the Comprehensive Annual Financial Report for the entire global financial universe
How many Quintillion would that be? I seem to find myself agreeing it is a set up and we are being mushroomed, kept in the dark and fed on sh*t?
Wikipedia stopped deleting the article on CAFR BTW?
Pornostar Simona Premoli Mejia, ex amante lesbicissima di Marina Berlusconi ( sciacquona di danaro mafioso siculo, colombiano y mucho mas), ora su facebook too says:
October 6th, 2009 at 1:42 pm
Il gia’ condannato a due anni e due mesi di carcere, delinquente assoluto Paolo Barrai di Mercato Libero, abitante in Via Ippodromo 105 a Milano, tel 02.4521842, condannato per gravissime frodi ( contro Prodi, ma anche) contro Citigroup, allora, Citibank, da dove venne cacciato, infatti, a sbe.le sonanti, a fine anni 90, in quanto nella stessa rubava mari di soldi a pro dei soliti schifosi putridi schifosi lava danaro mafioso, Ennio Doris e Giorgio Pirovano di Banca Mafiolanum Ndrangolanum Riciclanum Mediolanum ( condanna non da menzionare, ma la condanna vi e’ stata ed eccome), il riciclatore di danaro di varie cosche assassine della Locride, oltre che di vari movimenti satanazisti e padanazisti, Paolo Barrai, il ladrone Paolo Barrai, il cocainomane devastato, Paolo Barrai, il mega masturbatore compulsivo super pornografo, ultimamente omosessuale, Paolo Barrai, il corrottissimo e megacorruttore Paolo Barrai, il falsone Paolo Barrai, il massone satanista Paolo Barrai, il razzista neoxuxluxklanista Paolo Barrai, il lecchino del po.co maniaco sessuale corrotto marcio neu Adolf Hitler, Roberto Maroni, Paolo Barrai, il tappetino sporchissimo del riciclatore di danaro di Cosa Nostra, neonazista, nonche’ assassin mandante e porco impotente pedofilo Silvio Berlusconi, Paolo Barrai, manipola i tags di qs post per cacciare via, dette assolute verita’ su di lui, da Google, ma il mondo intero sapra’ che egli e’ un lestofante che tende assassine trappole, e che lo e’ della finanza, come che dei media e come della politica. Chi lo paga come consulente e’ pari pari a uno che si spara alla nuca, primo, perche’ Paolo Barrai di Metrcato Libero e’ super incapace come money manager, secondo, perche’ Paolo Barrai di Mercato Libero ladra di brutto, terzo, perche’ Paolo Barrai e’ falso e traditore come il peggiore dei Giuda Iscariota. Come riferitomi d’altronde, dal por.one mandrillo sempre super arrapato Achille D’Antoni di Citigroup &/or Citi Private Bank Milano ( suo ex boss), durante un’orgia scatenata che avemmo in Brasile, a Fortaleza, Ceara’, a fine Luglio 2009. By the way, vi era a questa orgia pure, niente popo di meno, che il masson satanista assoluto, nonche’ ” GRAN MAESTRO DEMONIACO OMOSESSUALE ENUNCO, FEDERICO TRABUCCO DI MONTE PASCHI”, NOTO A TUTTI, NON PER NIENTE, COME “ LUCIFERINA”, e da pochissimo, tra l’altro, a capo della nota associazione ” femminelle con la barba, sataniste italiane”. E by the way again and again, vi era a questa orgia anche un altro verme schifoso, il mega riciclatore di cash di Cosa Nostra Alberto Ranucci ex Monte Paschi e ex Banco di Sicilia, uno che fu beccato ad Arezzo nella Massoneria assassina del verme schifoso killer Giuliano Di Bernardo, a sodomizzare un bambino di sette anni e dedicare il tutto al deo pagano dei Banchieri massoni ” Inkul As Sort”. All’arembaggioooooo, rivoluzione, revoluciooooon, avanti Obama Barack, avanti Leon Panetta, avanti Rupert Murdoch, distruggiamo i Berluscones, annentiamoli, prima fuori tutti i Berluscones dal pianeta Terra e solo poi, pensiamo alll’Afghanistan, Iraq and Iran, avanti, ammazziamo politicamente e imprenditorialmente, ripeto, politicamente e imprenditorialmente, los Berluscones, anzi, los Berlusxuxluxklones, coltello alla bocca, sbraniamoli, iamm beeeeeeeeeeee.
E occhio a questi altri due schifosi fascisti corrotti porci: verme nazi corrotto schifosissimo Alberto Nagel di Mediobanca, e putrido prezzolato perverso omosessuale bavoso complottardo Michele Calzolari di Centrosim: entrambi sanno di tantissimi omicidi ordinati da Silvio Berlusconi e Gianni Letta, ma non dicono cio’ alle dovute autorita’. Silvio Berlusconi non ha fatto solo ammazzare Giovanni Falcone e Paolo Borsellino, ma anche Corso Bovio, Lorenzo Necci, Raul Gardini, Adamo Bove, Michele Landi, Francesco Mastogiovanni, Niki “aprile” Gatti, Michele Landi, Gabriele Cagliari, Mike Bongiorno, tentativamente, cerco’ di assassinare Virgilio De GiovannI. VI ROVINERO’, IL MOMENTO DELLA VENDETTA E’ GIUNTO ED E’ CALIENTE, SARO’ VOSTRA GIUSTIZIERA, ALL’AREMBAGGIOOOOOOOOOOOOOOOO.
Pornostar Simona Premoli Mejia, ex amante lesbicissima di Marina Berlusconi ( sciacquona di danaro mafioso siculo, colombiano y mucho mas), ora su facebook too, based in London ( Max Mosley’ s House) and in Charleson WV ( mio cornuto beddu Mejia’s house) e non perdetevi il mio prossimo hot super sexy hot movie in uscita a fine Ottobre prevenduto in tutto il mondo per gia’ 22 milioni di copie ” Marina Berlusconi, lesbicona depravata, assume solo ~ giovinezza~ che gliela abbia prima ben leccata”. Vi canto il leit motiv della mia smashing colonna sonora ” Giovinettaaaaa, giovinettaaaa, a Marinaaaa, lecca quaaaaaaa, giovinettaaaaa, giovinettaaaa a Marina, poni il dito quaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa”.
Iamm beeeeeeeeeeeeeeeeeeeeeeeee