MarketWatch’s Rex Nutting finds it absurd that banks complain about over-regulation and “hostility” from the federal government. He says that the “too-big-to-fail banks are, in fact, being rewarded and allowed to become even bigger. (“Punish the bankers? We’re still rewarding them”).
It is just business as usual, Nutting says. The politicians and their crony banks have an understanding. Politicians like campaign contributions and banks like no-strings-attached government subsidies. Given the clubby personal relationships, it’s not too difficult to work things out in a way that both sides are satisfied.