Sunday, July 6, 2014
In the news this week, there has been headlines of Export-Import banks. Well, that's a new one on me. So what is an Export-Import bank? The reason why it has been in the headlines is because it is one of the most important Republican fights in years. Some of the stories about the banks attempt to say what the state of conservatism may be. Actually, this bank has been around since the 'New Deal' times, when folks were trying to dig themselves out of the 'Great Depression'.
The job of this bank/agency is to support U.S. exports. Sometimes it gives loans to foreign buyers so that they can purchase American goods, sometimes by protecting people that give those loans just in case they are not paid back. So if it does so much good, then why are people fighting over it right now? The first and foremost reason is that the 'Tea Party' is against it, and they want this organization to go. Their case is that since this bank seems to give loans to some companies and not necessarily to others, they may dictate on which companies may thrive, and which ones will fail. This bank will only exist unless the Senate authorizes it. The renewal for the Export-Import banks is up for renewal this fall, so the extreme right wing/Tea party, is going to try and take advantage of the expiration date and do whatever it takes to kill the bank. Paul Ryan, Ron Paul and others are in favor of this bank to fail. Even the new House Majority Leader Kevin McCarthy is against the bank, as he states on his first interview on Fox News that the private sector can do it, and the Federal Government needs to keep their hands out.
Kevin McCarthy will take every opportunity possible to show his party that he is less moderate than the guy that he replaced, Eric Cantor. Eric Cantor was a champion of the Export-Import bank, so this is just a taste of how left wing Kevin McCarthy is and how he plans to work as the new House Majority Leader.
The Republicans were actually dealt a blow when Eric Cantor lost his election to Keven McCarthy. Because Eric Cantor is gone, the chances of Congress to even take an immigration bill up on the floor this year is not going to happen. This alone will further define the Republicans as the party who will not support any new immigration policy, one which the majority of Americans support, including a large majority of Republicans. But the just a few of the Republicans who have power now control the fate of Immigration, at least until President Obama makes legislation on his own, without the Congress.
So what is potentially to happen here, is that Congress will do it's usually business of 'doing nothing'. By doing nothing when the charter must be removed, will effectively kill the bank. What about the thousands upon thousands of people who work for the Export-Import bank. For them, they would immediately loose their jobs, which would not look good to any member of Congress. But the tea party, looking to gain momentum and strength in the eyes of Republicans, are determined to fight and do what it takes to close these banks.
Again, things like this is exactly the reason that the Republicans must fix their own party before they would have a chance to win the Presidency again. Everything the Republican party does now a days, the people that they support do not support them.