OPINION:
Who is too big to fail — is it the banks, or is it really the Democratic Party (“Biden rushes to bail out Silicon Valley, continues to ignore East Palestine,” web, March 13)?
About a week ago, tight-money policies from the Federal Reserve seemed like a dandy way to fight inflation. So what happened? Politics has once again put the kibosh on doing the right thing.
When a major bank’s collapse threatened favored, high-tech investors, the Fed’s strategy was tossed out the window. Those technology folks must have been squealing like little piggies for the Biden administration to save their sanctimonious behinds from financial ruin. Covering depositors from losing their money was the least of it; they’re letting banks borrow nearly to infinity at a reduced rate and asking nothing in return.
When any of us average Joes in “normal” businesses make bad investment decisions, we have to suffer the consequences. But because of political considerations, the chosen few are once again immune to traditional market forces.
It’s the Biden administration that’s being bailed out. They saw a political tsunami coming after the Silicon Valley Bank failure so they caved. This has the potential to reverse everything the Fed has been doing to bring down inflation. Meanwhile, the little guy takes it on the chin.
SCOTT THOMPSON
Bloomington, Indiana
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