As if Paulson’s bailout were not enough, Bernanke in testimony called for a premeditated rape of the taxpayer. (Thanks to Bill Jones for calling my attention to the Bloomberg article.) Bernanke had the unbelievable impudence to recommend that the government buy the bank’s devalued assets at their maturity values (par) of 100, when they currently are thought to be in the range of 35 down to 0. He had the insulting insolence to attempt to sell this additional and outright wealth transfer from taxpayers to banks by telling the Senate Banking Committee that it was accounting rules that was making … Continue reading Bernanke’s premeditated rape