Big Bank Operations

                    

The administration says it wants to help business. One way is to loosen credit, especially at big banks. At the same time, however, the administration is creating regulations which diminish bank credit volume.

                       

This means many bigger banks receive lower credit ratings. Should they do, they will have to borrow at higher cost in the bond markets. Moreover, the regulations will not have any practical effect in making banks more secure.

                       

The administration cannot have it both ways. The media go along with the charade.

                       

The markets allow big banks to borrow more cheaply than smaller banks. This means that the market feels that big banks will be bailed out once again by Uncle Sam, no matter what the administration has been saying. (See the Earl J. Weinreb NewsHole® comments and @BusinesNewshole at Twitter.)