News – Lockdowns: Continued consolidation of the big banks market – Further aided by big government
We have long chronicled America’s devolution to big government and big business fascism.
Recent government lockdowns and takeovers – imposed under the guise of the Chinese virus – have only accelerated this terrible ongoing convergence.
Of course, Big Pharma has grown. Because the government was paying them tens (hundreds?) of billions of dollars to develop ineffective and dangerous vaccines – and many, MANY recalls. And then force us at gunpoint to take them.
Big Tech has certainly grown exponentially – and engaged in massive market consolidation. Because with We the People forced at gunpoint by the government to never leave the house – what else was there to do but waste online?
Oh: And of course the Big Government bureaucrats weren’t going to miss out on the Big Pharma-Big Tech profit that their authoritarianism was going to make inevitable.
Congress invests heavily in pharma and tech stocks – April 27, 2020
For the past two plus years, ruled by the government, it has been VERY good to be a big company. The big banks have not missed the largesse of cronyism.
“The rate of branch closures has doubled during the pandemic.”
It must have been a REAL good year for it to be “golden” – given the many years of bank consolidation that followed the Big Bank-crony Big Government Dodd-Frank Act of 2010.
Why compete with smaller private sector banks – when you can easily pressure them in DC?
And now, having murdered the small banking sector, the big banks are asking big government to go after their only remaining competitors: Payday lenders:
“A business that lends customers small amounts of money at high interest rates, on the agreement that the loan will be repaid when the borrower receives their next paycheck.”
These lenders serve people with very low incomes – and very bad or no credit. To whom the big banks will lend – NOTHING.
Payday lenders only appeared in numbers after the Big Government-Big Bank cabal succeeded in murdering the small banks – which used to lend to these low income, bad credit people.
And now bipartisan DC is looking to de facto assassinate payday lenders. Yes, embarrassingly, the Republicans are also in DC’s Big Bank game.
“The DC assimilation of the GOP continues (to reveal itself). And some Republicans brag about it….
“‘Grothman introduces the bipartisan Veteran and Consumer Fair Credit Act (VCFCA):
“‘Congressmen Glenn Grothman (R-WI) and Jesus “Chuy” Garcia (D-IL) today introduced the bipartisan Veteran and Consumer Fair Credit Act (VCFCA).’
“What is VCFCA? It’s a socialist price cap bill. That is, a rate cap on loans.
Bad ideas never die – because governments keep reimposing them.
It’s not like we don’t have previously tried government price cap several times:
“Price caps are – as always, everywhere and for everything – a terrible idea.
“‘Price caps are a bad idea’
“‘Price Control – Bad Idea, Whether Temporary or Permanent’
“’Capping energy prices? Another bad idea
« ‘Cap and Trade Primer: Eight reasons why cap and trade is hurting the economy and cutting jobs’
“‘The price cap on health insurance is a bad idea’
“Control of drug prices: bad idea”
“‘Why electricity price caps are a bad idea’
“‘Price controls cause shortages:
“’Imposing price controls to deal with inflation is as illogical as trying to deal with rising pressure in a boiler by manipulating the needle on the boiler pressure gauge. It’s no less self-destructive, too….
“The consequence of price controls which is the most central, most basic and most important from the point of view of the explanation of all the others is that price controls cause shortages.”
A shortage of payday loans and their lenders – is EXACTLY what the big banks want.
So Big Government is looking to give it to them.
Because why compete – when government can eliminate competition?
It is even more the kind of fascism that is our future.
Photo by Mike Mozart, Attribution 2.0 Generic (CC BY 2.0).