TITLE

FAILED BANKS, BAILOUTS, AND FEDERAL POLICY

AUTHOR(S)

Gutman, Huck

PUB. DATE

March 1992

SOURCE

Monthly Review: An Independent Socialist Magazine;Mar92, Vol. 43 Issue 10, p29

SOURCE TYPE

Periodical

DOC. TYPE

Article

ABSTRACT

The article discusses issues concerning bank bailouts. Progressive funding of bailouts would mean that the wealthy would pay more for the bailout than the middle class, and increasing progressive income taxes is not the only means, nor even necessarily the best means of paying the bill. It notes that whatever money is spend on the bailout precludes government spending on more socially desirable and equitable concerns. Adding payments for the bailout to the federal budget diverts that money from those programs which are the building blocks of a more equitable distribution of income, and programs like extending unemployment benefits.

ACCESSION #

27671965

Tags: BAILOUTS (Finance);  BANKING industry;  MIDDLE class;  INCOME tax;  FEDERAL budgets;  UNEMPLOYMENT

 

Related Articles

• More Income Tax Breaks For Rich "Job Creators?" Sure. But With Strings. SILVERSTEIN, MICHAEL // Moderate Voice;8/15/2012, p6 

  The article discusses the bank bailouts in the U.S. that were carried out without strings. It states that both the left and right are angry with U.S. President Barack Obama for how bailouts were made. It says that the bank bailouts lead to a Republican issue in the 2012 election on the need to...

• Paul Kiel and Karen Weise Discuss the Stars and Slackers of the Bailout. Webb, Mike // Pro Publica;10/ 3/2010, p6 

  A podcast featuring reporters Paul Kiel and Karen Weise discussing the success and failure of the U.S. government's bank bailout program is presented.

• Saudi Arabia and UAE move to ease interbank lending rates. Martin, Matthew // MEED: Middle East Economic Digest;10/24/2008, Vol. 52 Issue 43, p16 

  The article reports on the $24 billion rescue package with local banks in a bid to cut soaring interbank lending rates in Riyadh, Saudi Arabia and Abu Dhabi, United Arab Emirates (UAE). It states that the UAE's Finance Ministry is distributing $19 billion among domestic banks, with the amount...

• Take back the money.  // Hill;4/23/2009, Vol. 16 Issue 45, p22 

  The author reflects on the irony of the government's request for banks to participate in the stimulus package and to accept congressional restrictions on executive compensation and hiring in the U.S.

• How Have Banks Managed to Repay the Bailout? MACEWAN, ARTHUR // Dollars & Sense;May/Jun2012, Issue 300, p26 

  The article presents questions and answers related to banking including how the bailout was repaid by banks.

• Govt closes Credit Guarantee Scheme. dale, samuel // Mortgage Strategy;11/ 5/2012, p6 

  The article reports on the closure of the Credit guarantee Scheme by Great Britain's government after its launch more than four year ago as part of a state bailout of the banking system.

• Bailed-out banks are a liability. Eustice, George // PRWeek (London);2/3/2012, p13 

  The author argues that banks that have been bailed out by the British Labour government are a liability.

• Argentina's anxious middle class. LaFranchi, Howard // Christian Science Monitor;12/5/2001, Vol. 94 Issue 9, p4 

  Focuses on economic problems in Latin America, and the loss of optimism of the middle class in Argentina for the promises of economic liberalization and democracy. Attempts of the Argentine government to quell a run on banks; Efforts of international financial institutions to watch Argentina as...

• Balance Sheet Effects, Bailout Guarantees and Financial Crises. Schneider, Martin; Tornell, Aaron // Review of Economic Studies;Jul2004, Vol. 71 Issue 248, p883 

  This paper provides a model of boom-bust episodes in middle-income countries. It is based on sectoral differences in corporate finance: the nontradables sector is special in that it faces a contract enforceability problem and enjoys bailout guarantees. As a result, currency mismatch and...

Read the Article