Posted on 11/16/2019 5:06:12 PM PST by Tolerance Sucks Rocks
The Export-Import Bank – the poster child for corporate welfare – was due to expire at the end of September. But it has been given a temporary reprieve while congressional leaders plot to renew it on the sly by attaching it to a must-pass spending bill, meaning the bank will never get the scrutiny taxpayers deserve.
Ex-Im subsidizes export transactions using sweetheart terms – including below-market-rate loans – that are backed by the American taxpayer. According to the bank’s website, the agency provides financing when “private sector lenders are unable or unwilling to” and “assumes credit and country risks that the private sector is unable or unwilling to accept” [emphasis added].
In making these riskier loans, Ex-Im rigs the game in favor of a few well-connected companies, both here and abroad, at the expense of their competitors and taxpayers. Indeed, the lion’s share of Ex-Im subsidies go to a handful of the biggest corporations in America, including Boeing and General Electric, and their equally large foreign customers in places like China, Mexico and Saudi Arabia. If Ex-Im loans go bust, taxpayers pick up the tab.
The continuing resolution currently funding the government through Nov. 21 also extended the Ex-Im for the same time period. This allows the bank to continue functioning until a long-term renewal can be passed as part of whatever yearend spending package the two sides dream up.
With a lending limit of $135 billion – that’s your tax dollars at risk – you might think Congress would take a sharp look at the agency before renewing it. But no.
(Excerpt) Read more at realclearmarkets.com ...
PING!
It already died once. Was gone even. Ryan and McConnell revived it.
Continuing Resolutions need to Die.
Hard to kill it because it has a powerful constituency. Killing government programs is harder than pulling out a bad tooth.
Vandalay industries. Vandalay industries.. ....:-D
Christmas is near government shitdowns and grandmas who just want more spending so they can buy gifts for their children.
They just want it off your children’s tables.
With corporate welfare you’re giving money to corporations who could manage on their own.
Like I said, those corporations contribute to the congresscritters who fund the Ex-Im Bank.
And they’re not going to say no to political graft that keeps them in office.
Bush League Republicans love crony capitalism.
Subsidize the profits and socialize the losses.
Hugh Hewitt likes it so that must be another reason to abolish it.
SUSAN: So, was George helpful at all?
ELAINE: (unconvincing) Yeah. Oh, yes, yes, he was very helpful. (hesitant) Uhm, because, you know, Art and I were getting into this whole thing about his business. Uhm, you know he’s an importer-exporter.
SUSAN: (not convinced) Yeah.
ELAINE: (explaining, with gestures) Uhm, George felt that I was too adamant in my stand that Art should focus on the exporting and forget about the importing.
SUSAN: (spotting an inconsistency) Wait a minute. I thought that Art wanted to give up the exporting.
ELAINE: What’d I say?
SUSAN: The importing.
ELAINE: (caught out) I did. Uh...
SUSAN: So, what does he uh, import?
ELAINE: (extemporising) Uh... chips.
SUSAN: Oh. What kinda chips?
ELAINE: Potato.
SUSAN: Ah.
ELAINE: (embroidering) Some corn.
SUSAN: And what does he export?
ELAINE: Diapers.
SUSAN: (fake smile) I’m sorry for bothering you.
Exact logic behind every guarantee the Fed makes. Including housing and student loans. In the end it is a subsidy. In the case of Boeing they could buy default insurance by why do that when the gov will give it to you for free.
Why don’t we use that big ole government muscle to help collect on some other debts. Heck let’s make all loans default free by having the force of the federal government back them.
Why help Boeing and not every other lender in the US?
You tried this crap logic the last time.
If it was cost free Boeing wouldn’t be asking for it. Of course there is a cost to the US taxpayer. Where federal guaranteed mortgages cost free? Pensions? Student loans?
This is no different than team owners and companies like Amazon wanting the taxpayers to foot the bill for the pleasure of keeping the team in the city or doling out tax breaks like their candy on Halloween. All the while, passing the bill to tax payers that, generally, have no say in the matter.
As with the revelations on Biden’s op in Unkraine, the equity fund in China managed by 3 moron kids of rich/political families(those 3 are more like Spalding from Caddyshack than anything else), Mittens’ kid dealing in Ukraine, it’s now proven how these corrupt bastards get rich while they’re in office.
I hate to tell Michael Lambert that the House just voted yesterday to extend the Export Import bank.
I added a shameless appeal to authority with my "Trump is for it" and Trump is smarter than you logic.
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