This week Congress reauthorized the Export Import Bank, and sent the bill reauthorizing the bank to the President for his signature. Unfortunately, the Export Import Bank is little more than corporate welfare. According to Iain Murray at The American Spectator, “There is no economic case for the Export-Import Bank. Yet its supporters claim that it is solving a case of market failure by providing taxpayer money for risky ventures that are unable to attract conventional funding. Unfortunately for this line of argument, the Ex-Im Bank has a dual mandate — to subsidize these ventures but also to lend money only when there is a reasonable chance of repayment.”
While even the purpose of the bank is dubious, taxpayers really need to ask Congress why are we still funding this program when the country is more than $15 trillion in debt. The Council for Citizens Against Government Waste stated in a press release that whatever intent the bank was founded on it has outlived that purpose and now is just a boon for politically connected companies. This boon will cost taxpayers more than it did in the past because the legislation reauthorizing the bank for three years raises the independent federal agency’s lending cap from the current $100 billion to $140 billion.
The reauthorization of this bank, illustrates that Congress is back to business as usually and it is not serious about cutting spending. With actions like these taxpayers are generous to give Congress a 13 percent approval rating