Wednesday, July 13, 2011

The vicious communistic styled bank-regulatory circle that nationalized our bank savings

“I, the Government, commit to give the credit rating agencies strong evidences that I will support you, the big banks, so that you, the big banks, can get good ratings and raise funds cheaply. 

And I, the Regulator, commit to set zero or very low risk-weights so that you, the banks, do not need to hold capital when lending to the government… of course for as long as you allow us to keep our jobs. 

And you, the big banks, you just do as the incentives and the disincentives tell you to do. 

And so we, the Government, the big banks and the regulators will live forever happy… until the scheme collapses and citizens and taxpayers find out what we have been up to.”