This is really, really not good. It’s like the mortgage crisis starting all over again, where banks were told by our government to make loans to people who couldn’t pay them back. Except this time banks are being told to buy government debt that the government may not be able to pay back. And that could lead to a debt bubble that will devastate America when it pops.
Here’s an excerpt from the audio:
“This is how our government destroys our country. Look what they did to the mortgage industry. Look what they did to the housing industry and the banking and the finance industries! Now look what they’re doing! The US and European regulators, that is our government and those governments, are pushing the banks to take on the debt that our politicians are creating by deficit spending and [the banks] do not have to treat it as debt against capital requirements.
You believe this?
So in other words folks, if our Treasury goes under, the entire financial system of the United States, the entire banking system of the United States, the various stock markets in the United States are all going to be dragged down with it!”
NOTE: Here’s the article Levin was reading from at CNBC.