Saturday, August 2, 2014

Get Rid of the Export-Import Bank

You often hear Republicans say that they prefer a smaller and less intrusive government.  So why does their leadership support the reauthorization of the Export-Import bank?  It is possible that the reauthorization bill will fail, but there is no shortage of Republican sponsors.

The Export-Import bank is crony capitalism at its worst.  There is absolutely no reason to subsidize exports, even if other governments subsidize their exports. Because someone else does something foolish does not mean you have to do something foolish as well.  Free markets, left alone, will provide whatever financing is required and deserved for our export sector.

Most of the subsidies from the Export-Import bank go to very large companies and are little more than a transfer of money from the average working family to large corporations.  Why is that a good idea?

I hope those who are trying to block authorization of the Export-Import bank will then turn their attention to the IMF and the World Bank, two other burdens on the American taxpayer with little or no benefit to anyone other than the bureaucrats employed by these embarrassingly inept organizations.

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