The bailout of the banking system is a complete disrespect to the middle American taxpayer. Now the money needed for supporting the poor will no longer be available unless there is a large increase in taxes. It will soon happen when the bailout is finalized.
Banks bet the the housing boom would continue indefinitely. They were caught by surprise when the value of millions of homes collapsed. Banks lost over a trillion dollars in home values. This caused a credit crunch and banks no longer were able to finance loans.
Instead of the government handing out a trillion dollars to unlucky banks they should find a better use for it like helping keep the tax rates from rising. But powerful banking interests are getting their bad investments returned and the tax payer has to helplessly looks on.
melpol
Tags: bail out, banks, tax payers
