The Government seems to be bailing everyone out these days, from large banks and New Jersey mortgage companies, to all types of other companies. It seems as thought there is an idea that banking has become an "evil" thing, and that deregulation is what caused our financial meltdown in NJ and the rest of the country. The government has been stepping in and giving loans to many banks and mortgage companies, many here in NJ. "Nationalizing" these NJ banks, and many other US banks, may be the wave of the future. However, there is a catch to all of this: the Government wants a MAJOR stake in may of the mortgage banking companies that it is bailing out. And I really can't blame them, after all, something for nothing is never a fair game.
But what is resulting out of all of this, is that private stockholders in banks and mortgage companies, are having there stock bought out, and the Government is getting tons and tons of control over these lenders. Boards of Directors are getting eaten up by the government, and NJ banks are going in the direction of nationalism. What this all means, is that the banks are moving towards being totally regulated by the Fed. In other words, not only does the Fed control interest rates, the backbone of the US economy, but now it may own 51% or more in these large banks and mortgage lenders as well! Majority shareholders in corporations, can pretty much do whatever they want, and make the rules as they see fit.
Think about this: the Federal reserve is already the largest PRIVATE bank in the world. In fact, it is a "central" bank, that controls entire economies, and , in effect, the entire world! Our financial lives as we know them, will change forever. Full regulation of the banks will be in effect by the Government. And once they are nationalized, they can never be un-nationalized. Believe me, they WANT to nationalize the banks in order to gain more control over the economy. In NJ alone, 3 mortgage companies, who I will not disclose here, were almost fully nationalized in early 2009!
When you give someone control of the money supply and the banking system, you will be under their duress forever, so just keep that in mind when you here about bank nationalization on the news. And since it seems to be the era of big government all over again, there is a very good chance these banks WILL be nationalized.
But what is resulting out of all of this, is that private stockholders in banks and mortgage companies, are having there stock bought out, and the Government is getting tons and tons of control over these lenders. Boards of Directors are getting eaten up by the government, and NJ banks are going in the direction of nationalism. What this all means, is that the banks are moving towards being totally regulated by the Fed. In other words, not only does the Fed control interest rates, the backbone of the US economy, but now it may own 51% or more in these large banks and mortgage lenders as well! Majority shareholders in corporations, can pretty much do whatever they want, and make the rules as they see fit.
Think about this: the Federal reserve is already the largest PRIVATE bank in the world. In fact, it is a "central" bank, that controls entire economies, and , in effect, the entire world! Our financial lives as we know them, will change forever. Full regulation of the banks will be in effect by the Government. And once they are nationalized, they can never be un-nationalized. Believe me, they WANT to nationalize the banks in order to gain more control over the economy. In NJ alone, 3 mortgage companies, who I will not disclose here, were almost fully nationalized in early 2009!
When you give someone control of the money supply and the banking system, you will be under their duress forever, so just keep that in mind when you here about bank nationalization on the news. And since it seems to be the era of big government all over again, there is a very good chance these banks WILL be nationalized.
