Kucinich on US Bailout of European Banks: We Cannot Continue to Throw Money Down the Bank Hole

[Donnachaidh]

http://www.nationofchange.org/kucinich-us-bailout-european-banks-we-cannot-continue-throw-money-down-bank-hole-1316271567

Con­gress­man Den­nis Kucinich (D-OH) today re­leased the fol­low­ing state­ment in re­sponse to re­ports that the Fed­eral Re­serve has com­mit­ted U.S. dol­lars to the cash-strapped Eu­ro­pean Cen­tral Bank:

“The Fed has found tril­lions and tril­lions of dol­lars for banks through TARP and Quan­ti­ta­tive Eas­ing Episodes 1, 2 and 3. Now they fig­ured out a way to bail out yet an­other set of banks - this time in Eu­rope. But they can’t seem to fig­ure out a way to help out the Amer­i­can peo­ple who are still suf­fer­ing from this re­ces­sion by cre­at­ing jobs re­pair­ing our in­fra­struc­ture. This is a clear win­dow into pri­or­i­ties - Gov­ern­ment of the banks, by the banks and for the banks.



“Bailouts and aus­ter­ity pack­ages have made no dif­fer­ence at best, and ‘the mar­kets’ just can­not be sat­is­fied. We can­not con­tinue to throw money down the bank hole.

“Our Con­sti­tu­tion gives the gov­ern­ment the right and the re­spon­si­bil­ity to ad­dress these prob­lems, but what have we done with this pow­er­ful tool? We have handed it over to the pri­vate, for-profit bank­ing sys­tem.

More at the link --

[Tierra_y_Libertad]

1. But, they will and assure us that it's for our own good. K&R

[Vincardog]

2. As long as we allow money to determine our political winners and losers what else can we expect?

[rbnyc]

3. +1 (nt)

[banned from Kos]

4. Kucinich should stick to the UFO sightings - The Fed is providing currency swaps

at no cost to anyone.

X amount of dollars for X amount of Euros.

And "QE3"? There is no such thing. QE2 bought US Treasuries - it "bailed out" no one.

[amandabeech]

5. My guess is that U.S. banks have provided insurance, e.g. credit default swaps,

on the Greek (and other weak Euro countries) bonds held by French and German banks. The Brits are helping, too. I suspect that their banks are similarly exposed.

I've not heard anything about Canadian or Aussie banks helping out. But then, at least the Canadian banks did not get themselves in so much trouble with various "weapons of mass financial destruction."

I sincerely hope that I am wrong, but this doesn't look good to me.