[Congressional Record Volume 156, Number 70 (Tuesday, May 11, 2010)]
[House]
[Page H3282]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
AMERICAN TAXPAYERS BAIL OUT THE EU
(Mr. STEARNS asked and was given permission to address the House for
1 minute and to revise and extend his remarks.)
Mr. STEARNS. Mr. Speaker, on February 24, 2010--just 3 months ago--
Federal Reserve Chairman Bernanke told Congress that ``We have no plans
whatsoever to be involved in any foreign bailouts or anything of that
sort.''
Now, Mr. Bernanke has changed his own policy statement by agreeing to
revive a Fed emergency lending program that will loan American taxpayer
dollars to foreign central banks so they can in turn lend this money
out to smaller foreign banks, as reported in the Wall Street Journal on
May 10 of this year.
This decision comes in the wake of the European Union's agreement
with the International Monetary Fund to create a $1 trillion bailout
package for the EU in order to deal with that region's ensuing fiscal
crisis. The IMF, which is also funded by American taxpayer dollars,
will be contributing over =250 million (euro) or $317 million to this
overseas bailout in addition to the Fed's dollar-swap loan program.
The question, Mr. Speaker, is, why did Mr. Bernanke change his
policy? Why are American taxpayers now helping to bail out European
countries?
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