On Friday’s “PBS NewsHour,” New York Occasions columnist David Brooks argued that the federal authorities wouldn’t have been so fast to behave if Silicon Valley Financial institution (SVB) was situated outdoors of Silicon Valley and the federal authorities acted so rapidly as a result of folks “created a narrative” that may not be true “that this medium-sized bank, if it went under, the whole economy would go under.” And “if I were a populist, I’d be jumping all over this thing, because Silicon Valley Bank gets bailed out? Really? It seems to be tailor-made for our friend Donald Trump.”
Brooks said, “[W]ould we have been so quick to act if this were called Monongahela Valley Bank, and not Silicon Valley Bank? And my answer would be no, that the venture capitalists who invested in this bank and whose — people who they invested in put money in this bank, they created a narrative that this medium-sized bank, if it went under, the whole economy would go under. And once they created that narrative — which I think may not have been true — then, more or less, the feds had to act. And so, if I were a populist, I’d be jumping all over this thing, because Silicon Valley Bank gets bailed out? Really? It seems to be tailor-made for our friend Donald Trump.”
Comply with Ian Hanchett on Twitter @IanHanchett
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