Posted on 07/31/2015 9:59:10 AM PDT by Isara
Congress must preserve today’s win for American taxpayers
WASHINGTON, D.C. - U.S. Sen. Ted Cruz (R-Texas) today issued the following statement regarding the Senate's final passage of a long-term highway reauthorization bill. Immediately following its passage, the Senate approved a three-month highway extension, which the House passed earlier in the week. This short-term extension did not include a provision to resurrect the Export-Import Bank and has been sent to the president for his signature.
"Today was a major win. Just one week ago, the Washington Cartel was certain that the Export-Import Bank -- a quintessential example of cronyism and corporate welfare -- would be reauthorized. The fix was in. And yet, after a long battle on the Senate floor, as Mark Twain might say, reports of Ex-Im's revival were greatly exaggerated.
"The House stood strong and refused to reauthorize the Export-Import Bank. And, today, the Senate was forced to relent and pass a three-month extension in the Highway bill, without reauthorizing the Export-Import Bank.
"I commend House conservatives for their strong leadership. This Fall, no doubt, the Washington Cartel will make yet another run at reviving Ex-Im. Lobbyists will descend on Congress, doling out checks and trying to extend hundreds of billions of dollars of taxpayer loan guarantees to a handful of giant corporations. But, if the House continues to demonstrate their courage of their convictions, together we will make permanent a major victory for hard-working taxpayers. No more cronyism; instead, opportunity for all, and favoritism towards none."
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Spoken like someone who feels it’s not enough for the welfare leeches to suck at the taxpayer’s teat but also thinks corporations should get their cut.
“And besides that...it isn’t over. Too early for victory”.
You can say that again.
As opposed to the average American investor/taxpayer.
Ex-Im was nothing more than crony capitalist, government insider, corporate welfare, more properly named Fascism. There is no free market, capitalist, or calculated risk for return involved, and it is not tallied on the Producer side of the balance sheet.
I like he’s referring to them as: “The Washington Cartel”. They gotta hate that.
On another thread a Trump supporter used Cruz’ opposition to the Ex-Im as a criticism, comparing Cruz to Trump who presumably favors the Ex-Im.
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Cruz
Tried to give Obama fast tract Trade authority to negotiate even more job killinng so-called free trade agreements..
Helped kill the Ex-Im Bank which helps America’s exporters.
http://www.freerepublic.com/focus/news/3318994/posts?page=72#72
I was reading about Air Tractor, another American airplane maker that benefits from Ex-Im Bank.
I do know about and have met European government reps who underwrite the sale of products from France, etc.
I still believe our government should be about government, not banking.
If we’re talking that way, I think we’d be better served with him as AG. Followed by an appointment to SCOTUS. Chief Justice would work.
“Kudos to conservatives for killing crony capitalism bill.”
Agreed! I know we call it crony “capitalism” but it really is crony “corporatism”. Corporatism has worked against the free market capitalism taught, practiced and discussed by the father of free-market, F.A.Hayak. Corporatism has been “crony-ized” by D.C. politicians so much, that there is very little competition; and that spells a death knell to free-market principles.
Of all the things they cut. They cut something that actually made money and returned cash to the Treasury, and that was helping our exporters as well.
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Well that depends on who is doing the analysis. The CBO says the bank is a money loser and also raises the prices of goods. And that makes sense because subsidies always raise prices.
https://en.wikipedia.org/wiki/Export-Import_Bank_of_the_United_States#Criticism
TPP stands for Trans-Pacific Partnership. TPP is a specific trade agreement currently being negotiated by the United States and 11 other countries, including Canada, Japan, Australia, and New Zealand. China is not a negotiating partner. There is no final language on TPP because negotiations are still ongoing and have been since late 2009. Neither the Senate nor the House has voted yet on the TPP. There will be no vote on TPP until the negotiations are over and the final agreement is sent to Congress.
Some Key Facts:
In an ideal world where everyone is on the up and up I can see where you’re coming from.
But unfortunately we don not live an ideal world. 2 thing we know will happen:
1. The entities that get these loans are going to engage in behavior riskier than they otherwise would have, because the money is guaranteed by the US government, no different than 10 years ago lenders being less careful handing out loans knowing it’s backed by Fannie Mae.
2. You and I both know that there is no way to ensure the corporations getting this money aren’t getting for reasons other than economics. Paybacks, kickbacks, corruption, it’s all part of it and there is way to ensure it wouldn’t happen so it will happen, eventually.
Sure the IM-EX is making a little money now, but just like the Fannie Mae debacle, when it all falls apart the tax payer will be on the hook for far more money than it made.
Let's pass Trump into the Oval Office to see what's in him, eh?
I assume that we here are all Conservatives. For those of you who pick Donald Trump over Ted Cruz, hopefully you are honest to yourselves and know that Donald Trump is not a Conservative. He doesn't even know what being a Conservative means. Listen to him saying it himself at the 53:00 mark. He was talking about repealing and replacing Obamacare and he added this:
Full Speech: Donald Trump Brings Down The House In Phoenix, AZ (7-11-15)
“I know this doesn't sound very Conservative. We gotta take care of everybody, not just the people up here. We gotta take care of everybody. Okay! Get used to it, Conservatives. I love you, Conservatives. Get used to it. Let's take care of everybody, please. And by the way Obamacare doesn't!”
You don't understand. Sometime you need to abandon the free market to save the free market.
The bank is not financing a subsidy. The bank is financing an export deal and offering insurance on the deals. The bank is making a profit on the loans and on the insurance and returning cash to the treasury.
What happens is that the export bank borrows from the U.S. government at a lower rate than a commercial bank can. In turn it can offer financing for export deals at a lower rate than a commercial bank can. The lower rate reflects the borrowing rate of the U.S. government.
The foreign firms that these export firms compete against often have special financing deals from their governments.
Only in the most indirect way can the loan be thought of as a subsidy. It’s effectively using the credit rating of the U.S. government to facilitate the export. But since exports protect Ameican jobs, it makes sense for the government to use it’s credit rating that way.
And the bank doesn’t pick winners or losers among American firms. It’s financing is available to any American exporter that meets the criteria.
The bank is not financing a subsidy. The bank is financing an export deal and offering insurance on the deals. The bank is making a profit on the loans and on the insurance and returning cash to the treasury.
What happens is that the export bank borrows from the U.S. government at a lower rate than a commercial bank can. In turn it can offer financing for export deals at a lower rate than a commercial bank can. The lower rate reflects the borrowing rate of the U.S. government.
The foreign firms that these export firms compete against often have special financing deals from their governments.
Only in the most indirect way can the loan be thought of as a subsidy. It’s effectively using the credit rating of the U.S. government to facilitate the export. But since exports protect Ameican jobs, it makes sense for the government to use it’s credit rating that way.
And the bank doesn’t pick winners or losers among American firms. It’s financing is available to any American exporter that meets the criteria.
Of course it’s a subsidy and corporatist favoritism.
Which defense manufacturer teat do you drink from?
You’re worried about the bank eventually losing money when it hasn’t lost money since 1934 when it was initiated.
We are in a trade war that we are seriously losing. And killing the bank is like saying our fighter jets will eventually be out of date, or there will be fraud in a military purchase somewhere some time, so let’s not buy anymore.
You don’t understand. Sometime you need to abandon the free market to save the free market.
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Where have I heard that before, and never let a crisis go to waste?
Whatever Bath House is for, I’m against. Good for Cruz.
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