TARP

14 comments

Posted on 20th March 2012 by Administrator in Economy |Politics |Social Issues

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The Wall Street Journal did their part yesterday with their piece of the propaganda designed to mislead the ignorant masses into believing TARP was a huge success and has actually generated a profit for the American taxpayer. My article yesterday proved this to be part of the BIG LIE. Approximately $8 TRILLION of debt has been shifted from Wall Street onto the backs of American taxpayers and this piece of shit Wall Street Propaganda Rag has the fucking balls to tell its readers that Americans made a fucking profit. Sometimes I just want to punch something when I see such blatant bullshit spewed by captured corporate mouthpieces like the Wall Street Journal. Billionaire Rupert Murdoch doing his part to keep the party going, one day after Billionaire Michael Bloomberg tries to buck up Billionaire Lloyd Blankfein and his fine group of shysters for the unwarranted hit job by Mr. Smith. It brings a tear to my eye to see these poor billionaires dealing with these public relations problems.

“Essentially, TARP successfully stabilized markets and helped prevent another Great Depression, but it failed horrifically in meeting its equally important Main Street goals—including preserving home–ownership—and institutionalized Too Big to Fail and the moral hazard that accompanies it.”

-Neil Barofsky, New York University law professor.

 

RESPONSE FROM A COMMENTOR ON BARRY RITHOLTZ’ BLOG THAT CUTS THROUGH THE LIES DIRECTLY TO THE TRUTH:

 

Forget about TARP goals to preserve home ownership and dis-incentivize moral hazard. After almost four years one has to conclude the program is a spectacular success and its “failures” are intentional. TARP is proof government works when it wants to, very quickly enacting major legislation and then selectively enforcing only those portions of new laws it chooses to enforce.

Government’s swift assembly and subsequent, ongoing support of the mother of all socialist safety nets propping up TBTF overwhelmingly benefits the same tiny sliver of the population most responsible for a financial crises that crippled the global economy and permanently lowered living standards previously enjoyed by hundreds of milions, if not billions of people.

Look at the outcomes and ask, “How is it that portions of TARP benefitting Wall Street efficiently fell into place and succeeded so well, while at the same time portions of the legislation intended to help Main Street repeatedly failed at almost every turn?”

The finance industry engineered a disaster requiring drastic government action. Somebody has to pay for the emergency response and its aftermath, but under no circumstance will bailed out TBTF be called to account. In fact, government’s TARP program perversely rewarded TBTF’s negligent, reckless and/or criminal malfeasance. Even more perversely, TARP accelerated a 3-decade economic trend wherein increasing concentrations of global income and wealth are redistributed into the hands and control of (Who else?) that same tiny population sliver most responsible for the crisis. TARP outcomes are not coincidental.

The notion of 99% permanently living on the financial brink always worrying about losing everything at anytime is unhealthy and dangerous for society at large. People understand greed is human nature and Wall Street is all about greed. They know much of the finance industry is predatory and they are the prey. What they hate knowing is their 100% captured government is doing almost nothing to protect them from rabid, out of control predators. Shortly after taking office President Obama told TBTF bank CEO’s he was the only thing standing between them and pitchforks. He even said “Wall Street Fat Cats” once or twice before he was captured and forgot why the electorate sent him to the White House. So far, it seems Obama’s major financial reform accomplishment is a more informative, less complicated credit card statement.

After giving up on Obama for being ineffective, Occupy Wall Street re-introduced the spectre of pitchforks into the public conversation. They are the weatherman pointing out where the wind blows, telling us our financial predicament will not resolve until we wake up to realize the sun will still rise every day after a TBTF institution is allowed to fail or gets taken down via RICO prosecution.

14 Comments

  1. Bman says:

    This is a little off topic, but this story was on cnbc (gotta know the adversary) this morning. Is it me, or is it 1984?
    http://m.cnbc.com/us_news/46792761

    Like or Dislike: Thumb up 2 Thumb down 0

    20th March 2012 at 8:52 am

  2. Bman says:

    When is the govt going to mandate that each person must have an online profile? If you dont-off to jail, if you do but it’s fictitious-off to jail for fraud. Gotta love a “free” country!

    Like or Dislike: Thumb up 2 Thumb down 0

    20th March 2012 at 8:56 am

  3. joe blowe says:

    What about the 16 Trillion printed at the same time as TARP (0.7 Trillion) and given to the banks all over the world ?
    Can we talk about that ? Highly corruptive, highly inflationary, irreversible.

    ‘The absurd fixation on the irrelevant in the face of the impending…’

    Like or Dislike: Thumb up 3 Thumb down 0

    20th March 2012 at 11:10 am

  4. AWD says:

    TARP is the biggest theft in world history. Transferring debt to someone else is the same as stealing, especially if they don’t want the debt. The voters of this republic made their opinion known, no bailouts or bullshit TARP, but it didn’t matter. Wall Street stole $8 trillion dollars.

    Well-loved. Like or Dislike: Thumb up 7 Thumb down 0

    20th March 2012 at 11:25 am

  5. Stucky says:

    Fucking lying sack of fucking shit douchebag cocksucking fucking bullshit artists every fucking one of them. Fuckit. Fuckit all to hell.
    091119beelertoon_c20091118083110.jpg

    Well-loved. Like or Dislike: Thumb up 12 Thumb down 0

    20th March 2012 at 11:29 am

  6. Bob says:

    Ditto, Stucky!

    In an honest world, the TARP and bailout money would have been funneled through the FDIC to replace deposit accounts for the 99% as needed. Shareholders would have been wiped out. Management would have been sacked and replaced. The 1% foolish enough to remain exposed would have been on their own above the $250,000 account insurance limit. Justice would have been better served, and moral hazard mostly avoided.

    And don’t get me started on the BAC shift of its derivatives portfolio to be backed going forward by customer deposits! This should be a crime! Instead, it was formally approved by the New York Fed!

    Anyone who has any money in a BAC account please know that you are now the backstop for trillions of derivatives contracts brought to you by those ‘infallible financial wizards’ who work(ed) at LYNCH Merrill, Pierce, Fenner and Smith!

    Well-loved. Like or Dislike: Thumb up 6 Thumb down 0

    20th March 2012 at 12:02 pm

  7. Muck About says:

    Has anyone besides me noticed that both 10 Year and 30 Year T-bond interest rates have now broken out to high side?

    The Fed’s Operation “Twist” has terminated (that’s the operation where they either print money or sell short term bonds/bills to buy long term T-bonds to suppress the interest rates.

    Get some TBX and TBF because when they loose control of long end interest rates (and they will) you will see a world shaking collapse in the bond market. Remember – when interest rates go up, the principle value of the bond goes down. TBX (inverse 10 year) and TBF(inverse 30 year bond) go up as interest rates rise. There will be tons of money to be made as tons of money is lost in the bond market when it caves in..

    @Flash: I have not been hiding, I’ve been busy. I had to sit down and read the operating manual for the Prius 5C now parked where the Mustang was. Takes time for an old fart to learn new technology!

    MA

    Like or Dislike: Thumb up 4 Thumb down 0

    20th March 2012 at 12:24 pm

  8. WIP says:

    Reverse Engineer had a way with words when it came to this topic.

    In RE I trust.

    Like or Dislike: Thumb up 1 Thumb down 0

    20th March 2012 at 12:34 pm

  9. flash says:

    @MA
    Glad to hear you’re not in Gitmo…sad to hear you dumped the Mustang for a Prius..
    JEEEEZUS Christ ,we ain’t in Detroit anymore…

    But ,nevertheless, if a shooting war getz a going with the Mad Mullahs then we’ll all be looking to purchase something even smaller than a Prissus….e.g.

    Power_Wheel_Chair_PF_7_SCOOTER.jpg

    Like or Dislike: Thumb up 4 Thumb down 1

    20th March 2012 at 1:06 pm

  10. flash says:

    ..And for those long trips when you may need a relief driver…the two seater Get-About Slowly Deluxe Model, comes complete with handy dandy shopping basket..Power_Wheelchairs_Mobility_Scooter_Handicapped_Scooter_Electric.jpg

    Like or Dislike: Thumb up 2 Thumb down 0

    20th March 2012 at 1:11 pm

  11. platoplubius says:

    @ BMAN

    Nice article link…it seems that the “Thought police” are everywhere…govt censors…private companies wanting you to sign agreements that you won’t trash them on facebook….and all of this tied to your survivability due to the dependence on capital in order to purchase necessitities like food and water.

    Like or Dislike: Thumb up 1 Thumb down 0

    20th March 2012 at 5:09 pm

  12. Administrator says:

    Muck

    You stick the key into the ignition and you turn it.

    Like or Dislike: Thumb up 3 Thumb down 1

    20th March 2012 at 5:14 pm

  13. Administrator says:

    TARP Success Story:

    20120320_armaggedon%20costs_0.png

    Like or Dislike: Thumb up 1 Thumb down 0

    20th March 2012 at 8:21 pm

  14. ron says:

    I think you use a FOB to start it. That over a mustang?wow. My dads had a few prius,no problems.

    Like or Dislike: Thumb up 0 Thumb down 0

    20th March 2012 at 12:40 am

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