Joe Biden has been criticized for his claims that taxpayers won’t bear losses in the Silicon Valley Bank bailout and his “everything is fine” narrative. However, raising fees across the banking system creates a loss for taxpayers as these fees will be passed on to customers. The Treasury Exchange Stabilization Fund, which backstops the bailout facility the Fed is using, is funded by taxpayers. The government is also raising employees’ wages at Silicon Valley Bank, which is also funded by taxpayers. The money printing that is firing up again is further diluting and devaluing the US dollar through inflation, resulting in legalized theft that violates taxpayers’ property rights.
Biden’s “Everything is Fine” Narrative is False
Joe Biden’s claim that “everything is fine” is completely false. The reality is that taxpayers will incur losses due to the Silicon Valley Bank bailout.
False Claims of No Losses to Be Borne by Taxpayers
Biden’s statement that no losses will be borne by taxpayers in the Silicon Valley Bank bailout is also false. The exchange stabilization fund that backstops the bailout facility is funded by taxpayers.
Increasing Fees Across the Banking System Creates Losses for Taxpayers
Biden’s proposal to increase fees across the banking system creates losses for taxpayers. The fees will be passed on by banks to their customers which ultimately leads to a loss for taxpayers.
Taxpayers Foot the Bill For Silicon Valley Bank’s Employee Wages
The government is raising Silicon Valley Bank’s employee wages by 50% for the next 45 days to help wind down the bank. However, it’s the taxpayers who will ultimately foot the bill for this.
Money Printing Dilutes and Devalues US Dollar
The government’s solution to bail out Silicon Valley Bank is by firing up the money printers which further dilutes and devalues the US dollar via inflation. This is legalized theft that violates the property rights of the taxpayers.