Why is Congress bailing out big banks while driving out of business small community banks?
Why is Congress protecting big banks by bailing them out and driving their competition out of business? What happened to the free market economy and letting the market and competition decide who stays in business and keeping government out of business.
- Jonny DLv 41 decade agoFavorite Answer
Because if they didn't bail out the big banks, the millions and millions of people and businesses Dependant on them would also fail, leading to a world wide depression of cataclysmic proportions. Essentially, you'd be living like an African refugee just struggling to live after a few months or years.
- ideogeneticLv 71 decade ago
The financial reform bill signed into law today attempts to level the playing field. The president of the Independent Community Bankers of America, Camden Fine, was on CNBC this morning saying community bankers got 80% of what they wanted for fair competition in the new law.Source(s): http://www.icba.org/
- linarisLv 44 years ago
He did attempt yet his advisors stopped him. He mistakenly employed Geitner and SUmmers who artwork for the super banks, so they geared the bail outs so the banks might income. Obama replaced into tricked and Geitner provided means to help small companies. He reported it replaced into liquidity subject and if we gave money to the banks they might have additional funds to own loan to small companies. in spite of warnings from others, they did it without giving the banks situations, so they simply took the money and might charge the small companies ridiculous interest fee. My chum reported he had to borrow at 10% in spite of his stable archives. undergo in recommendations, the banks borrow at 0%. additionally Obama on no account checked what he replaced into doing replaced into surprising and basically have confidence his advisors. He tension many autodealerships to close down. vehicle professionals reported some wouls advance our atuo industry, yet Obama close down greater then what's needed and the various sut down certainly might harm out vehicle industry. word how human beings attempt to hide the data via distracting with Bush. Obama did vote for Tarp, and whilst He became President, he ought to apply it as he needed. Obama had leeway on a thank you to apply Tarp. Obama can decide directly to no longer use it, or he ought to positioned situations on how that is used or he decide on who gets it.