Forum Post: Multi-Trillion Bank Bailout Leads to Multi-Billion Bank Profit Bloomberg Finds
Posted 12 years ago on Nov. 28, 2011, 8:18 a.m. EST by MonetizingDiscontent
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Multi-Trillion Bank Bailout Leads to Multi-Billion Bank Profit Bloomberg Finds
-11/27/2011-
(by Tyler Durden) Back in August when Bloomberg first scoured the depraved depths of the almost-30,000 pages of FOIA-released Fed documentation surrounding the biggest ever bailout in history, the sheer volume of the loans, ultra-low cost of funds, and lying-through-their-teeth nature of the bank CEOs was enough for some vindication of tin-foil-hat-wearing fringe blogs... http://www.zerohedge.com/news/visualizing-what-12-trillion-secret-fed-bailouts-banking-kleptocracy-looks ...In this month's Bloomberg Markets magazine... http://www.bloomberg.com/news/2011-11-28/secret-fed-loans-undisclosed-to-congress-gave-banks-13-billion-in-income.html ...much of this is rehashed but the truly incredible part - though not entirely shocking to us - is...
the magnitude of the profits that the banks amassed directly as a result of these 'secret' bailouts. Almost a quarter of their entire income was generated during this period from bailout-related sub-market funds. Over $13bn profit was 'appropriated' during the crisis with Citi and BofA among the largest profiteers.
For those with the stomach for what is the highest form of crony capitalism writ large and explained in its clearest and most egregious manner yet, the article also has an interactive chart of the banks' profit-gains direct from the Fed's bailouts during this period... http://www.bloomberg.com/news/2011-11-28/secret-fed-loans-undisclosed-to-congress-gave-banks-13-billion-in-income.html ...Dean Baker's quote from the article perhaps sums up our perspective at the time and now:
:::::::::::Steve Keen On Parasitic Bankers, Deluded Economists:::::::::::
::::::::and Why “We Are Already In The Second Great Depression”::::::::
http://www.zerohedge.com/news/steve-keen-parasitic-bankers-deluded-economists-and-why-%E2%80%9Cwe-are-already-second-great-depression
-11/27/2011-
(Tyler Durden) Everything that 'deluded' orthodox economists have done so far has been designed to aid the creditors (who remain the problem) while Steve Keen, the most familiar face of the non-orthodox economists, sees the only solution to this crisis as aiding the debtors. His interview with BBC’s HardTalk this week covers a great deal of ground from modern debt jubilees (and how they should be structured), the Tea-Party and Occupy movements (and his growing fear of historically repeating the endgames of previous economic and social disenfranchisements), and the parasitic nature of our existing financial sector.
He is unequivocal on the outcome of the status quo, as he has been for many years, citing politicians as reactors not leaders with the view that the youth movements we are seeing will force change of leadership to enable non-orthodox solutions to our simple problem – too much private debt. “Write off the private debts, nationalize the banking system, and start all over again” is his starting point but his ideas on implementation warrant some attention as he attempts to promote creative instability and reduce the destructive instabilities of capitalism – recognizing that our world is not in equilibrium as every Keynesian economist would believe but inherently cyclical and unstable.
::::::::::::Steve Keen on BBC HARDtalk::::::::::::: (((WatchVideoClip)))
http://www.youtube.com/watch?v=rGkmgnprrIU&feature=player_embedded
::::::::::::Steve Keen on BBC HARDtalk::::::::::::
'..Another Great Depression is all but inevitable..'