Excellent argument for better financial regulation
There's a difference between responsible financial regulation and using intimidation and bigotry to force banks into doing your will. Not only are they using thuggery but they're placing their people in positions of leadership and literally taking them over.
And now they're planning on starting up their own banking system:
The Bank of Central Planning
By Peter Raymond
Democrats have designed the financing mechanism to secure the enormous sums needed to complete their transformative central planning initiatives -- the "green" infrastructure projects and smart growth or "livable communities" agenda. It is called the National Infrastructure Development Bank Act of 2009 (HR 2521), sponsored by Congresswomen DeLauro (D-CT) along with 59 co-sponsors.
In a govtrack.us interview, Representative DeLauro explains that the "size of the federal deficit" is prohibiting access to needed funds for what she calls a "national growth policy." It seems this central planning enthusiast has determined that tax increases and federal borrowing will not meet the financing needs of the left's very ambitious agendas, so she has introduced an alternative financing vehicle.
Undeterred by the national debt crisis exacerbated by the record deficit spending DeLauro supported, the congresswoman remains confident that her legislation will "put the US economy on a track for future economic growth and economic security ... for families." However, the poor track record of economic policies she has supported, such as the American Recovery and Revitalization Act of 2009, does raise doubts about her optimistic assessment of her own proposal.
Showing visible concern that her idea of a public partnership with private investors might be viewed negatively by pro-government supporters, DeLauro was quick to emphasize, "I am not talking about privatization. I want to get their capital and use it for building in the United States." It is unfortunate, and symbolic of the pervasive anti-free market attitude in Washington, when a congressional representative is clearly uncomfortable promoting private enterprise.
The fundamental purpose of the Act is to create a self-sustaining, independent, and "wholly-owned government corporation" called The National Infrastructure Development Bank (NIBD). The bank will facilitate a "public-private" investment partnership and establish a revolving pool of capital to fund infrastructure projects. Private capital will be accessed by issuing and selling debt securities and public benefit bonds and direct borrowing from the global capital markets. The bank will then distribute all the necessary funds to bank board-approved projects.
The Obama administration has already announced plans to use $50 billion to fund and launch a new infrastructure bank. As an apparent proponent of a government-controlled economy combined with Obama's public support of this initiative, HR 2521 will undoubtedly be put on the fast track. If the Democrat leaders decide to rush through a series of bills during a lame duck session, then it is conceivable that HR 2521 could reach the floor for a vote before the end of the year.
Although the concept may seem appealing at first glance, it is important to remember that central planners have a long tradition of presenting only the short-term benefits of their government programs and not fully accounting for costs or foreseeing the long-term unintended consequences. All too often, social and economic justice experiments snowball into "unexpected" busts which are then exploited to initiate even more intrusive and expensive corrective measures. The housing market calamity is the most recent example of a grand government scheme that led to a boom-and-bust cycle.
So what can possibly go wrong with creating a national infrastructure bank?
American Thinker: The Bank of Central Planning