Jim Rogers, CEO of Rogers Holdings, discusses RARP (Recovery and Reinvestment Plan) and Treasury Secretary Timothy Geitner, who was one of the architects of TARP, and is now in charge of RARP distribution.
Mr. Geitner has been hed of the New York FED for several years. That was the office that was supposed to be supervising Wall Street and the banking system. He caused the problem. He came up with all these absurd bailouts.
Mr. Geitner has never known what he was doing. He doesn’t know what he’s doing now. And pretty soon everyone’s going to find out, including Mr. Obama.
You rarely hear Jim Rogers slamming someone as hard is he did Timothy Geitner in this video. I suspect there is some truth to what Jim Rogers is saying here.
An interesting idea from Jim Rogers on how the government should treat failing banks:
You do what America told Japan to do in the 90’s. You let them go bankrupt. You clean out the system.You wipe everybody out who is insolvent. Then the solvent people take over.
The Japanese didn’t do it. They continued to prop up zombie banks and zombie companies. And they still talk about the lost decade.
Mr. Geitner was supposedly in Japan in the 1990’s. You know what Mr. Geitner said the other day? I almost fell on the floor. He said it’s because the Japanese didn’t spend enough money.
The Japanese did nothing but spend money. America’s making the same mistakes.