At this moment, Obama administration has got a dilemma in its own hand. It has proposed to put a new kind of tax on the banks because the banks got a lot of taxpayers’ money during the economic recession. But the bankers have opposed it and they have got the support of the Republican Party leaders. Opponents of Obama feel that it is politically motivated and it would not bring any benefit to the ordinary people.
It is the time of election in later this year and the democrats are looking to keep their majority intact in Congress. Many people in USA are very worried for their jobs as the unemployment figure is hovering around 10% consistently. So, they expect that their president would do something about it. There is a lot of resentment against the banking sector because many ordinary people think that the banking sector is the main culprit behind the economic recession.
The bank’s got a lot of bailout money from Obama administration and they have paid almost half of it. So, they are not happy with the new proposal because they feel that they’re unjustly and unfairly targeted. Their logic is that they have become successful in repaying the government the money that took an even they paid interest for it. The government instead should target those sectors like the auto industry who were not successful in paying back the taxpayers’ money.
Many of the Republican leaders have opposed this move by the Obama administration and they argue that in the end, the banks will take the money from the people and this way, it is only the ordinary people who will get all the harm instead of getting any benefit.
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