Rational Nation USA
Purveyor of Truth
Excerpt from NATIONAL REVIEW ONLINE that highlights the reality that republicans are, and have been as supportive of crony capitalism and corporate welfare as democrats.
... If Republicans in Congress simply do nothing, the New Deal–era Export-Import Bank, which guarantees loans so that American multinationals can sell products overseas, will vanish at the end of September. Last year, the bank backed $37.4 billion in loans, loan guarantees, working-capital guarantees, and export-credit insurance, the vast majority of which went to mega-companies such as Boeing, General Electric, and Caterpillar.
Despite Ex-Im’s protestations that it has programs to help women, minorities, and small businesses, the bank is essentially a form of corporate welfare for giant multinationals. As the Wall Street Journal puts it: “If a private bank won’t do an export-financing deal, why should Congress put taxpayer money at risk to clinch the deal? In today’s global financial markets, companies large and small can access trade financing, either in the capital markets or from lenders.” Indeed, Standard & Poor’s has figured out that Boeing would do just fine without the bank, even though Boeing made up more than one-third of the bank’s loan portfolio from 2007 to 2013. “We don’t believe that the expiration of Ex-Im’s authorization in September would hurt Boeing’s credit quality or ability to make planned deliveries in 2014 and 2015,” S&P analysts wrote.
Of course, the Ex-Im Bank claims that it has recently made money for the taxpayers. True enough, but there have been years where it suffered losses. By a “fair value” accounting approach, meanwhile, the system recommended by the Congressional Budget Office (but not used by Congress), Ex-Im will cost billions over the next ten years.
The bank’s authorization to exist goes away at the end of September, and if the Republican House simply does nothing, it can demonstrate that it has some backbone when it come to reining in corporate welfare, political favoritism, and taxpayer risks. ...
I'm betting the republicans follow past habits. What's SAY YOU??
The read rest of the article HERE.