When Nobody’s Looking, Senators Drop their Control- Wall St. Bill
|December 25, 2013||Posted by Staff under Financial|
The nation’s biggest banks have quietly dodged a measure expressing Congress’s desire to eliminate the unfair advantages they may enjoy because they’re perceived as “too big to fail.”
The “sense of the Senate” measure did little more than convey lawmakers’ view that the federal government should somehow stamp out subsidies or taxpayer-conferred benefits. Aimed at institutions with more than $500 billion in assets, it was sponsored by Sen. David Vitter (R-La.), and passed the Senate in March by a 99-0 vote in a show of lawmakers’ reluctance to be tagged as big-bank sympathizers.
Though largely symbolic in nature, proponents of the measure used the vote to rally support for congressional and regulatory efforts to break up the biggest banks on the grounds that the subsidies amount to an unfair earnings advantage not available to smaller banks. Goldman Sachs, JPMorgan Chase, Bank of America, Citigroup, Wells Fargo, Morgan Stanley, American International Group, and General Electric Capital are the eight U.S. financial institutions with sufficient assets to fall under the measure.
Despite the unanimous vote in the Senate, congressional negotiators declined to include the control- Wall St. bill in the bipartisan budget deal. Sen. Sherrod Brown (D-Ohio): “Our amendment was approved 99-0 in the light of day, and then removed in the dark.”
Sen. Dick Durbin (D-Ill.) said, referring to the Senate, that banks “frankly own the place.”
Ed. Notes: Where do Wall Street banks get their money? Mostly from mortgages. What do these debts extract? Payments for land is the biggest part. So if we kept our payments for land (and resources) circulating locally, then such spending for nature could not engross Wall Street banks to the point where they appear too big to fail. We’d not have to worry about their fate at all. We’d have the money and the comfort that comes with it. All we have to do is institute Land Dues to direct the flow of spending into the local treasury and Rent Dividends to bounce it back out to residents as a fair share. It’s sort of like what Singapore already, and goes by the name of geonomics.