TIME TO GET OUT FROM UNDER THE ‘TOO BIG TO FAILS’!
By Marc Armstrong, Public Banking Institute
“Washington and the regulators are there to serve the banks.”
So said Rep. Spencer Bachus (R-Ala.), the Wall Street crony who chairs the House Financial Services Committee in charge of banking policy.
If you ever needed justification for exerting a semblance of local control over how credit is issued in the economy of your city, county, or state, this may just be it. Any impartial observer of this summer’s most recent bank scandals knows that Wall Street does not have your interests in mind. Apparently, neither does Congress.
Antidote to the Wall Street casino
This issue of PBI’s monthly newsletter is meant to showcase what some of us are working on at the county level. Public banking is not a difficult concept – it’s just regular depository banking, but with the owner being the people, as represented by city, county and state governments. There are numerous implications, however, which primarily involve governance. And, yes, local governance may be messy, but it is far superior to the existing corporate-controlled governance coming out of D.C., which, instead of issuing debt-free money, has handed to banks the monopolistic power over money creation. At least citizens, using a public bank, have the power to make affordable loans for the benefit of their own city, county, or state.