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De Omnibus Dubitandum - Lux Veritas

Friday, October 25, 2013

'Boeing's Bank' made a billion-dollar profit -- so privatize it

By TIMOTHY P. CARNEY | OCTOBER 24, 2013

It turns out that issuing taxpayer-backed loans and loan guarantees for Boeing jets and other U.S.-made goods is very profitable. The Export-Import Bank of the United States, a federal agency, reported a $1 billion profit in the last year, the agency reported today.

Ex-Im has operated for years at no direct cost to taxpayers, which is why I didn't include it in my prescription for how conservative budget hawks should target corporate welfare.  The 10-figure profit is better than a taxpayer loss, but it's hardly an argument for keeping the agency. Here are three very quick points:……Ex-Im won't be profitable forever. Fannie Mae didn't cost taxpayers money until it did. What if we get an aircraft bubble? Taxpayer will be left on the hook.…..To Read More…..
 
Editor's Note:  Carney is the author of, "The Big Ripoff: How big business and big government steal your money", where he discusses this issue with the Ex-Im bank at length. I highly recommend this book to everyone.   I can assure you that you will find it eye opening.

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