Archive for the ‘FDIC’ Category

The end state of liberalism …

February 23, 2010 Leave a comment

… I submit, is that its policies end up entirely at odds with themselves. So, not only do they make little practical sense in and of themselves; but they end up contradicting each other on top of that. With limitless rights (usually funded by others) and limitless responsibilities (generally only born by those who do the funding), it can only be so. From today’s Washington Post, about the lack of bank lending last year:

But [FDIC Chairman] Bair said that the vast majority of the decline [in lending last year] was the result of lending cutbacks by the largest banks, which have tightened qualification standards and increased the proportion of money that they hold in reserve against unexpected losses.

“Large banks do need to do a better job of stepping up to the plate here,” Bair said.

I thought reckless banks that didn’t hold enough reserves and played too much with other people’s money were, at least in part, what led to the Great Recession. Banks have recently been more responsible with their money, but now they’ve got to “step up to the plate” and, what, act irresponsibly again? We gotta look at it this way, I guess: it can be cute to watch dogs chase their tails.