Why does EU bail out bank owners at the expense of the general populace?

[ShockediSay]

Why not let the Banks go under where the owners suffer the loss,
and simply capitalize a new bank?

[notesdev]

1. Same reason the US does it

the government is owned by, and works primarily for, the banks

once you understand this principle, Western governments are easy to both understand and predict.

[ShockediSay]

4. I thought that changed w/ US law for winding down and selling off

failed banking institutions? No?

[notesdev]

5. Laws only help if there is enforcement

Holder is asleep at the wheel, Bair refuses to execute her sworn duties.

All the TBTF banks would already be in the resolution process if those two were doing their jobs.

But they're not, because they are appointees of someone who is owned by the banks, and they're going to do what their boss wants them to do (let the bankers run rampant and steal everything that can be stolen).

[Turbineguy]

2. Because not bailing them out

occurs at the expense of the general populace.

[ShockediSay]

3. But if there's a solvent replacement bank?

Individual depositors are insured.

[leftstreet]

6. Because banksters are not yet afraid of us

They use the political class to take the heat

[socialist_n_TN]

7. Also, think about this............

The ENTIRE worldwide economic meltdown was precipitated by the international bankers, the epitome of capitalism. As a result of THAT, they get bailed out by the tax dollars of the people in the various countries so they wouldn't fail. NOW, to help the banks and bankers FULLY recover from THEIR fuck up, we have to undergo "austerity" to bring down government deficits CAUSED BY THE RECESSION THEY CAUSED.

In short, they fuck up, they get bailed out, and now we have to pay AGAIN because THEY fucked up the world's economy. It makes SO much sense. NOT!

BTW, I like your idea. Let 'em fail, pay the FDIC insurance to depositors (what is the limit now? 100k?) and start up a new bank with tax dollars. It would probably be cheaper than what we did.

[dkf]

8. Look at all the losses in the other banks, pension funds, 401ks etc when Lehman failed.

The fact is no one knows who is holding these assets and how weakened these next institutions become.

[Tierra_y_Libertad]

9. "Those who have the gold make the rules."