Big Government Is On the Way to ‘Help’ … Again
Washington,
Apr 23 -
Most Americans want government to perform its basic, Constitutionally-mandated functions, while keeping its nose out of the private sector and their personal lives – exactly what has not been happening recently.
It didn’t start with the Obama administration and current Democratic majority in Congress – the previous administration was quite the big-government spender – but it’s certainly accelerated.
Not surprisingly, more is on the way.
This week the Democrats, with the backing of President Obama, forged ahead with the so-called reform package for the financial industry. The Club for Growth jokingly calls it the “bank bailouts forever bill.” But it’s no laughing matter for the taxpayer who’s going to get stuck with the fallout. Like the bank bailout of 2008, which I vehemently opposed, this bill will only lead us further down the road of more government intervention into the private sector.
One of the most troubling parts of the bill is singling out the largest Wall Street firms for special treatment, including taxpayer-funded resources that won’t be available to smaller financial firms. These perks include access to a pre-existing bailout fund, a Treasury-backed line of credit and a government guarantee for any debt.
This entire plan is riddled with free-market-killing proposals. In fact, the Democrats want a new Financial Stability Oversight Council, which would be made up of unelected bureaucrats – the same folks who helped start these problems.
Local banks, like the ones that dot the 3rd Congressional District, would receive none of the perks of this bill but be forced to follow all of the expensive mandates. These are burdens our small businesses can’t afford to shoulder right now.
Ultimately, this bill just grows government even more by expanding the role of the Federal Reserve, whose balance sheet has morphed from $830 billion to $2.2 trillion in the last three years alone.
Let’s enact some real reform, starting with addressing Fannie Mae and Freddie Mac, two companies that were essentially nationalized courtesy of more than $125 billion (and counting) in taxpayer bailout money. They’re the root cause of the housing meltdown and financial crisis, but the current plan offered by Democrats provides no solutions for Fannie and Freddie.
Democrats just don’t get it. What we really need to be doing is helping people get jobs, not destroying businesses’ ability to create jobs. More government restraints just keep banks from lending, but the only way we’re going to turn around the economy is to free up credit for small businesses.
It's unlikely real reform will happen. Under the Democrats’ rule, government has turned into a permanent bailout factory, churning out one right after another. So, here we go again.
With the national debt at $12.7 trillion and growing, taxpayers are worried about more open-ended bailouts, and I stand with the overwhelming majority of Americans who’ve had enough. It’s time to stop the endless takeovers and handouts that are putting the taxpayer on the hook. Only then will government regain the confidence and respect of its citizens.
