Obama's Speech
I don't normally offer a mid-day update to the Republican Reporter, but I feel compelled to comment on last nights speech by President Obama.
First, my wife, made a salient observation as she was watching. She said, "I would feel more confident in Obama's promises if he didn't have Biden and Pelosi sitting behind him as he talked. Their presence is a reminder that we're looking for the solution from the people that brought us here." It's like Jesus Christ has returned to earth to bring peace and prosperity, and he introduces us to his two lieutenants, Hitler and Stalin.
Second, the media is all a twitter over Obama's implementation of a "stress test" on every bank in the country. It sounds so fresh and exciting, right? I've been privileged to serve on a bank board for the past 18 years. During my entire tenure, a standard report that the bank directors review, each month, is a Stress Test. This report, created by the bank, shows the impact of both rising and falling interest rates on the loan portfolio and investment portfolio of the bank. Team Obama, and a compliant media, are trotting this out as something new and fresh. The Stress Test has been around for decades and is provided to government regulators on a quarterly basis by every bank. Hence, Obama's "new look" at the banks is nothing more than reviewing the reports that the Bank regulators are already receiving.
But why let facts get in the way of good "spin". It would be akin to announcing that our new education policy involves a "comprehensive review of the students performance in a program we call a FINAL EXAM".
Banks face two conflicting messages from this administration. On the one hand, Obama has been chastising the banking community for not lending. At the same time, bank regulators are telling banks that the level of scrutiny over their loans will only get tougher. The messages are diametrically opposed.
First, my wife, made a salient observation as she was watching. She said, "I would feel more confident in Obama's promises if he didn't have Biden and Pelosi sitting behind him as he talked. Their presence is a reminder that we're looking for the solution from the people that brought us here." It's like Jesus Christ has returned to earth to bring peace and prosperity, and he introduces us to his two lieutenants, Hitler and Stalin.
Second, the media is all a twitter over Obama's implementation of a "stress test" on every bank in the country. It sounds so fresh and exciting, right? I've been privileged to serve on a bank board for the past 18 years. During my entire tenure, a standard report that the bank directors review, each month, is a Stress Test. This report, created by the bank, shows the impact of both rising and falling interest rates on the loan portfolio and investment portfolio of the bank. Team Obama, and a compliant media, are trotting this out as something new and fresh. The Stress Test has been around for decades and is provided to government regulators on a quarterly basis by every bank. Hence, Obama's "new look" at the banks is nothing more than reviewing the reports that the Bank regulators are already receiving.
But why let facts get in the way of good "spin". It would be akin to announcing that our new education policy involves a "comprehensive review of the students performance in a program we call a FINAL EXAM".
Banks face two conflicting messages from this administration. On the one hand, Obama has been chastising the banking community for not lending. At the same time, bank regulators are telling banks that the level of scrutiny over their loans will only get tougher. The messages are diametrically opposed.
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