The No Banker Left Behind Act
Category: Miscellaneous Musings
To all Taxpayers - the proposed $700,000,000,000.00 (yeah, that is a real big number - looks much more menacing with all the zeros spelled out) bailout represents a cost of $2,310.23 per each man, woman and child in US. For a family of 4, that amounts to $9240.92 of money our government currently does not have going to a group of institutions that not only have made horrendous investment decisions, but already profited from them.
Per the International Herald Tribune December15, 2006:
NEW YORK: Lehman Brothers Holdings and Bear Stearns, the Wall Street firms most dependent on the fixed-income market, crowned their best year with record fourth-quarter earnings, bolstered by corporate bonds and derivatives.
Profit at Bear Stearns rose 38 percent to a record $562.8 million, and Lehman's earnings rose 22 percent to $1 billion in the quarter ended Nov. 30. While both beat analysts' estimates, they lagged behind Goldman Sachs Group, which reported a better- than-expected 93 percent jump in quarterly profit this week.
If I were going to be investing $9240.92 this week, it would certainly not be in financial institutions. While some sort of government action may be necessary, an un-critiqued $700,000,000,000.00 blank check cannot be the answer. Call, write to, or email your Congressperson. Regardless of your beliefs, demand that they take the time to analyze the No Banker Left Behind Act. Congress should give as much attention to this bill as you would to you investing $2,310.23 in the current market for every member of your family.
To reach your Represenatives in the House of Representatives:
To reach your Senator: