This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Smashing Big Banks Only the First Step: Opinion

VANCOUVER ( Bullions Bull Canada) -- It was encouraging to see a recent article in the New York Times arguing for the necessity of smashing the Big Bank Oligopoly in the U.S.

Apparently not everyone has forgotten the basic fundamentals of economics.

Going all the way back to Adam Smith economic theorists have acknowledged a central premise of capitalism: Oligopolies are predatory, parasitic abominations that can never be allowed to evolve in our economies.

Or, as I put more succinctly in a recent commentary , "too big to fail = too big to exist."

This premise is so self-evident it should not even require elaboration. Yet, the fact these Vampire Banks not only exist but continue to grow shows this simple truth is still not grasped by more than a small fraction of the population.

What is "too big to fail?" It is a group of banks saying to the U.S. government (and governments across the West): "We're so important that you must save us...or else."

This is extortion. It cost U.S. taxpayers somewhere in the neighborhood of $15 trillion in assorted hand-outs, 0% "loans" and "guarantees" when Wall Street made its extortion demands in 2008.

Since that time the U.S. economy is much weaker, much more debt-leveraged (i.e. insolvent ) and the Wall Street vampires have been allowed to get even bigger.

The result? Serial extortion in the form of the latest quantitative easing from the Federal Reserve: $500 billion per year in blackmail payments, ad infinitum.

Incredibly, the sheep still don't understand even this bankster crime of theft-in-broad-daylight, so perhaps a simple example will illustrate it.

Seven castaways are stranded on a desert isle. Even though they only have one "good" to purchase in their economy -- coconuts -- one of the castaways happened to bring along a printing press. They decide to have their own money.

Ten coconut dollars are printed for each castaway per month. Then one month one of the castaways -- let's call him Gilligan -- gets a brilliant idea on how they can all get rich: print more money. Instead of printing only 10 coconut dollars per castaway each month they would print 1,000 coconut dollars. So even if they never got rescued, they would soon all be "rich."

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AAPL $124.75 0.00%
FB $80.78 0.00%
GOOG $524.05 0.00%
TSLA $206.79 0.00%
YHOO $44.45 0.00%


DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs