Mar 09, 2015

Pittsburgh Tribune-Review: Bury The Export-Import Bank

Post by Freedom Partners

The editorial board at the Pittsburgh Tribune-Review wrote a scathing critique of the Export-Import Bank on Friday, ultimately calling on lawmakers to eliminate the federal agency “once and for all.”

The editorial board, which represents the second-largest newspaper in the state of Pennsylvania, cited a culture of cronyism—along with the bank’s lackluster support for small businesses—as a key reason taxpayers shouldn’t be on the hook for the bank’s export loans:

Strip away the excuses for Ex-Im’s continuation and what’s left are taxpayer-backed loans and loan guarantees that benefit multinational companies fully capable of obtaining their own private financing.

And all those so-called “small businesses” that rely on these subsidies? It turns out they’re not so small, according to a Reuters investigation. And never mind analyses by The Heritage Foundation and the Mercatus Center, which found that small businesses receive less than 20 percent of Ex-Im subsidies.”

“‘Reforms’ are not enough,” it concluded. “It’s time to put the Export-Import Bank to rest, permanently.”

Several public policy leaders have taken a stand against the Export-Import Bank, including former Governor Jeb Bush and Senators Ted Cruz, Rand Paul, and Marco Rubio. Representative Jeb Hensarling has also spoken out against the bank’s lending practices; the House Financial Services Committee, which Rep. Hensarling chairs, voted against an amendment that would have forced the committee to consider reauthorizing the bank in February.