Can Democracy Survive the Next Financial Crash?

Sarah Bloom Raskin’s important piece in the Atlantic makes the point that the next financial bailout will be an opportunity for more plunder and corruption in the Trump Administration. We need an economic policy for the American people—not the predatory power elite.

Sarah Bloom Raskin: When the next crash happens, originating from whatever sector, the president will control a bailout apparatus with essentially limitless authority. Ever since the 2008 global financial crisis, the Federal and Treasury have claimed, with almost no resistance, more power to deal

Urgent warning in @theatlantic.com on a potential Trump AI bailout, by former Deputy Secretary of the Sarah Bloom Raskin. She suggests Congress set the groundwork now for a bailout manager to ensure any rescues actually have a public benefit. www.theatlantic.com/ideas/2026/1...

"Bailout authority is a loaded gun. Once triggered, it would bring...public deficits & debt...zombie companies that taxpayers are forced to carry, an expansion of wealth inequality, & a dramatic shift of losses from perpetrators to the public." No private profits, socialized risk. And...

Excellent piece from Sarah Bloom Raskin. The headline is appropriate, since we are still suffering the consequences of backlash to GFC bank bailouts nearly 20 years later. Congress should understand that AI bailouts would likely make TARP look popular by contrast. www.theatlantic.com/ideas/2026/1...

“The risk that the heavily debt-fueled and interconnected AI sector could crash—taking the broader economy with it—is high and rising.” www.theatlantic.com/ideas/2026/1...

Sarah Bloom Raskin is performing a real service by warning us about what Trump could do if the #AIBubble were to burst while he is in power: using our tax dollars to buy up nonperforming debt from tech and finance firms that shower him w cash. If you think the grift is bad now...

"When the next crash happens, originating from whatever sector, the president will control a bailout apparatus with essentially limitless authority." www.theatlantic.com/ideas/2026/1...

Can Democracy Survive the Next Financial Crash? Sarah Bloom Raskin: "A Trump bailout would ... use it as a bonanza to enrich their favored companies and CEOs, even if they were the ones who caused the crisis to begin with." @theatlantic.com #AI [Gift Article] www.theatlantic.com/ideas/2026/1...

"A Trump bailout would proceed on whatever terms please the president and his allies, who would use it as a bonanza to enrich their favored companies and CEOs, even if they were the ones who caused the crisis to begin with." www.theatlantic.com/ideas/2026/1...

In Trump’s hands, an AI bailout would feature a new and more frightening dynamic: the creation of a standing money printer that can be turned on for his allies and turned off for his enemies, enabling state-supported favoritism and plunder on a staggering scale. www.theatlantic.com/ideas/2026/1...

Can Democracy Survive the Next Financial Crash? If the AI bubble bursts, Donald Trump will control a bailout apparatus with essentially limitless authority. (Sarah Bloom Raskin) 🎁Gift article: www.theatlantic.com/ideas/2026/1...

"If the AI bubble bursts, Donald Trump will control a bailout apparatus with essentially limitless authority." And that is the whole point ... 'white power by any means necessary'. www.theatlantic.com/ideas/2026/1...

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😔 www.theatlantic.com/ideas/2026/1...

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"Sarah Bloom Raskin is a professor at Duke Law School, a former Federal Reserve governor, and former deputy secretary of the Treasury." Think "Too Big to Fail" but this time with Trump in charge of deciding winners and losers. 😳 call your representatives www.theatlantic.com/ideas/2026/1...

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Can Democracy Survive the Next Financial Crash? (Sarah Bloom Raskin/The Atlantic) Main Link | memeorandum Permalink

Every bailout is a sign of economic failure. Without interventions by our elected representatives, future bailouts won’t just risk widening inequality—they stand to politicize our entire economic system. www.theatlantic.com/ideas/2026/1...

Donald Trump could potentially gain expansive control over a bailout apparatus if the AI bubble bursts, raising concerns about unchecked authority and oversight in economic interventions.

www.theatlantic.com/ideas/2026/1...