Well it seems that the hundreds of billions of dollars in TARP funds that went to the large, “too big to fail” banks and industries like AIG, have finally been seen for what they are by the Obama Administration: a way for the rich to stay that way.
Okay, maybe they are not quite at the point of describing it that way, but they are now acknowledging that while the funds were supposed to be used to stimulate the economy through lending to businesses and homeowners, for the most part they were and continue to be used by the big banks and industries as lines of credit for themselves and bonuses for their top executives, and not as a way to help the American economy.
We have said it before and we will say it again, Wall Street is far from being America’s Main Street.
So now it appears that President Barack Obama has decided that smaller community banks should also have access to the $700 billion rescue fund in order to help ease the credit crunch that is killing many small businesses, the country’s true job creators.
Not only have the large banks been refusing to make loans to this very important sector of our economy, in many cases they have caused additional harm by charging exorbitant fees to those suffering from the tough economy.
We understand Obama plans to unveil a shift away from the bailout focus, where the big financial institutions are hoarding resources, by asking Congress to raise the caps on Small Business Administration loans.
It’s about time.
Perhaps the president’s frequent travels around the country have finally loosened the grip of those in Washington who continue to act as mouthpieces for the big guys.
We also believe that this move may help rejuvenate small businesses so they can continue to produce the jobs this country needs.