( – promoted by TheMomCat)
Pictured above: Tim Geithner on NPR with Michelle Norris.
NORRIS: You know that businesses are spending again. The administration has been asking the banks to try to free up more money for small business in particular. And I want you to help me understand something because on one hand the administration is telling the bankers that they need to take fewer risks, that they need to deleverage, that they need to have higher capital reserve. And at the same time you’re also telling them that they need to lend more money. Those two things don’t seem to square.
Sec. GEITHNER: It is very important that we work with Congress to pass legislation that can put in place financial reforms that can prevent the next crisis. So it’s pretty important in the future we build a more stable financial system. We constrain risk taking in the future. But right now the real risk we face is that banks are not lending enough and not going to provide the capital businesses need to grow for the economy to strengthen going forward.
NORRIS: So it’s okay for them to take risks right now?
Sec. GEITHNER: Absolutely. Right now the real risk is that the pendulum having been too soft and easy on the lending side. Right now the risk is that banks overcorrect or that supervisors overcorrect. And that’s something we need to work against, lean against, because, again, the strength in recovery will depend in part on credit being available to businesses across the county.
What a confidence booster. Geithner doesn’t see any job growth until Spring–we just lost half a million more jobs last week. His plan has been to take over toxic gambling losses in exchange for cash so the banks have no need to deleverage and can take more risks.
NORRIS: You know, pardon me for presenting you with all these doomsday scenarios, but as you know, many people are worried about a second wave of systemic crisis, that either because of commercial real estate or the value of the dollar…
Sec. GEITHNER We’re not going to have, Michele, a second wave of financial crisis.
NORRIS: You’re that confident? You’re certain of it.
Sec. GEITHNER: We’ll do what is necessary to prevent that. We cannot afford to let the country live again with a risk that we’re going to have another series of events like we had last year. That’s not something that is acceptable. And we will prevent that. We will do what is necessary to prevent that, and that is completely within our capacity to prevent.
NORRIS: You’re saying you’re confident that it won’t happen. What levers can you press or pull to make sure that does not happen again?
Sec. GEITHNER: As people saw, when you have the will to act, we have substantial ability to prevent that, and we’ll do what’s necessary.
Tim Geithner’s tool-kit contains “will power.” And “necessity.” And “unacceptability.” And “capacity.” And “unaffordability.” I actually believe that last one.
So, relax, y’all. Timmeh II has spoked clearfully.
-As I see it, yes
-It is certain
-It is decidedly so
-Most likely
-Outlook good
-Signs point to yes
-Without a doubt
-Yes
YesNo!- definitely
-You may rely on it
-Reply hazy, try again
-Ask again later
-Better not tell you now
-Cannot predict now
-Concentrate and ask again
-Don’t count on it
-My reply is no
-My sources say no
-Outlook not so good
-Very doubtful
**Your breath is so minty!
9 comments
Skip to comment form
Author
Good to read you in top form again.
There are SO MANY OTHER WAYS for them to make money now!
Loaning money in order to make money is sooooo old school. Nobody made much money doing that, what, just a few percentage points over several years? SCREW THAT. Take huge risks instead on big time gambling, then have the gov’t bail you out if it doesn’t pay off.
Why would ANYBODY get back into small business and home loans now?
The rules have changed, suckers. If you want loans, go somewhere else.
You get people to pay for their own enslavement.
You have a choice between a 401,401K, a 529 and scores of others but all of it goes into a globalist’s piggy bank with which to buy governments, social engineering think tank time and astroturf front organizations. Now that is sheer genius.