Zombie Banks Are Devouring Our Public Money

[katty]

more: http://www.alternet.org/story/129732/

Zombie Banks Are Devouring Our Public Money with No End in Sight

By Bill Moyers, Bill Moyers Journal. Posted March 4, 2009.What needs to be done to protect the American taxpayer from the next round of multi-hundred billion dollar layoffs.
The following is a transcript from the Feb. 27 edition of Bill Moyers Journal.

Remember when economists poked fun at Ronald Reagan's voodoo economics? Well, now they are dead serious about so-called "zombie banks" - financial giants like Citigroup and Bank of America whose debts are greater than their assets, with stock worth less than zero, and they're only able to stay alive by devouring federal bailout bucks. Those banks, in turn, are terrified by talk that the government might come in and nationalize them. Well, some critics ask, why not? Given all this, I wanted to talk to a man with a clear-eyed perspective on the worldwide economic impact of this banking crisis.

Robert Johnson was once the Chief Economist of the Senate Banking Committee under the chairmanship of that fiercest of budget pit-bulls, the late Wisconsin Senator William Proxmire. Johnson became a Managing Director at Soros Fund Management, and now serves on a United Nations Commission recommending reforms of the international monetary and financial system. ...

Given what we know is happening around the world, are you scared?

Johnson: Yes I am.

Moyers: What scares you the most?

[Skink]

1. Along with studying the depression Bernacke minored in exorcism.

things'll be fine.

[Mnemosyne]

5. Surely Jindal will help with any exorcism.

I didn't ever fear zombies, they're too slow.

Zombie banks, otoh, are terrifying.

[RUMMYisFROSTED]

2. +1. Good read.

k/r

[kirby]

3. Video link...

http://www.pbs.org/moyers/journal/02272009/watch.html

[jtrockville]

4. No, it's NOT the banks. It's the BANKERS.

The bankers don't give a hoot about the banks or their shareholders.
The bankers care only about their pay bonus award compensation.

[bemildred]

6. The money is all fake anyway.

I mean you can still buy stuff with it, but it's just paper, or bits on some computer somewheres. It's just pulled out of their ass when they want to make more.