WALL STREET BAILOUT DEFEAT IN HOUSE A BIG WIN FOR U.S. TAXPAYERS
The defeat in the U.S. House of Representatives of the $700 billion bailout for Wall Street and big banks is a big win for U.S. taxpayers, said the President of Taxpayers United of America (TUA).
“The federal government helped create this mess with its incompetent regulatory intervention in the banking industry,” said Jim Tobin, TUA President. “The passage of the Community Reinvestment Act, which literally forced financial institutions to give loans to applicants who had no hope paying the loans back, was a major factor in crippling the banks.”
“The members of the U.S. House showed courage and good judgment when they voted against this obscene bailout. Now the market will take over and you will see healthy banks taking over insolvent banks rather than saddling taxpayers with an additional, back-breaking debt of $700 billion.”
“Executives who make dumb decisions should pay dearly for their incompetence. Our economic system is the most dynamic on earth because it rewards success and punishes failure. This failed bailout bill would have rewarded incompetence on the backs of U.S. taxpayers.”
“The consequences of this bailout bill very likely would have been worse than the dire events predicted by its sponsors. The U.S. economy is basically healthy, and can handle these bank failures and liquidity problems without any more incompetent intervention by politicians and bank lobbyists.”