As many as 98 banks, which took in a total of $4.2 billion from the Troubled Asset Relief Program (TARP), may fail anyway, according to a study of third quarter earnings by the Wall Street Journal. Although the federal government originally promised to use TARP funds only to help healthy banks, the Wall Street Journal’s study tells a rather different tale. The banks in question are hamstrung by “eroding capital levels, a pileup of bad loans and warnings from regulators,” much of them stemming from risky commercial real estate loans gone sour.
Earlier this month the Recover Progress Report summarized, "As of December 1, $466.8 billion of the $787 billion stimulus has been committed to states; $333.8 billion has been paid out." The $787 billion American Recovery and Reinvestment Act of 2009 (ARRA), signed into law by President Obama on February 17, 2009, has been largely forgotten, despite millions of taxpayers' dollars being consumed every day.
Despite being verbally abused and legislatively hamstrung ever since the start of the Obama administration, those CEOs arriving at the Blair House Wednesday for another Summit meeting with the President seemed in good spirits. In a pre-announcement, White House spokeswoman Jen Psaki, was all smiles: “[This] working session is an opportunity for the president to continue building strong partnerships in the business community.”
America is in the throes of economic hardship. Certain regions of the country, the once thriving Great Lakes Region, the greatest industrial area in the world, and energy-producing states, such as West Virginia and Louisiana, have been particularly hard hit.
"Greed, for a lack of a better word, is good. Greed works. Greed clarifies, cuts through and captures the essence of the evolutionary spirit," says a disdainful Michael Douglas, in Oliver Stone's 1987 blockbuster movie Wall Street. This embellished train of propaganda is typical of populist bureaucrats and Hollywood socialites. All corporations are "evil, capitalist thugs" who rob the poor and exploit the middle class, they say. But omitted is the fact that these "evil, capitalist thugs" are the stimulators of job growth and contributors to economic prosperity.