Letters to the editor, July 23

Cartoon by Jim Meadows

Cartoon by Jim Meadows

Why New York needs its own state bank

Regarding Carolyn Maloney Congress Member and Council Member Dan Garodnick’s letter on “Why NY needs the Export-Import Bank,” T&V, June 25), I would like to mention the importance of having our own Community or State Bank in New York.  This is what Mr. Les Leopold, executive director of the Labor Institute in New York, an author of “How to Make a Million Dollars an Hour: Why Hedge Funds Get Away with Siphoning Off America’s Wealth” (2013), has mentioned.

He has also written other articles like “How Billionaires Use the Government as a Tool to Destroy Companies They Have Bet Against” (April 17, 2014), “Our Most Powerful Weapon Against Wall Street? The Rise of Reverse Eminent Domain” (Dec. 15, 2013), “Is Cutthroat Capitalism Pushing a Growing Number of Baby Boomers to Suicide?” (May 10, 2013), and many other articles during the last eight years.

It is my understanding that, as of June 2015, the only state of the USA that have had its own state bank is North Dakota, since 1919.  The CEO of that bank earns $250,000 a year – probably what a Wall Street bank CEO earns in one hour; hence, the student and mortgage loans there are cheap, and its main capital is probably the taxes residents pay to their own cities and state. What is more, when a business borrows money from their state bank, they are committed to create certain number of jobs with specific salaries.

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Why NY needs the Export-Import Bank

By Congress Member Carolyn Maloney and Council Member Dan Garodnick

In the last eight years, nearly 350 exporters, including 200 small businesses in New York have created or sustained jobs by exporting $11 billion worth of their products with the assistance of the Export-Import Bank. The bank is a little-known but important part of our country’s efforts to help businesses sell everything from peanut butter to airplanes abroad.

Even though the bank is operating at no cost to taxpayers and provided a $1 billion profit in 2013 alone, for a second year in a row Congress is threatening to shut it down. And as the clock ticks, New Yorkers’ jobs are hanging in the balance.

In April, the New York City Council Committee on Economic Development held a hearing to examine what would happen if Congress failed to extend the bank. The findings were alarming. The bank has created an estimated $4 billion in export value for New York City alone — and we know that every $1 billion in new exports creates nearly 5,000 new jobs. Nationwide, the bank created or sustained more than 164,000 jobs last year.

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