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Irish Bank Bailout
Alright comrades what is the meaning of the Bank Bailout and how should it be understood?
1) All the deposits of the wealthy have been withdrawn from the banks because they no longer trust the banks with their money due to all the bad loans the banks made bringing them to the brink of collapse with the loss of all the depositors money. The injection of money into the banks is in lieu of actual deposits by the owners of financial capital who have put their money somewhere else- other banks, bonds or commodities. This will allow the banks to resume extending credit and allow the economy to function, on the basis of their new 'deposits'. Does this make the state the major depositor? Who will own this deposit? Will it just be like a new 'startup' self-owned deposit of the bank?
2) The banks actually blew their deposits and the injection of money into the banks is to make up the original deposits they blew. That is, to pay off the wealthy depositors whose money the banks blew on bad loans. It is just paying off the rich. This will mean the removal of the money anyway, since the depositors no longer trust the banks and there will still be no opening up of credit lines.
Which is it more like?
"We stand with great emotion before the millions who gave their lives for the world communist movement, the invincible revolutionaries of the heroic proletarian history, before the uprisings of working men and women and poor farmers – the mass creators of history.
Their example vindicates human existence."
- from 'Statement of the Central Committee of the KKE (On the 90th anniversary of the Great October Socialist Revolution in Russia 1917)'
