The Donald

I am neither a fan of Donald Trump, nor a critic. I do recognize him as understanding economics, though only because of his experience, not his schooling. Yet, in the simplest terms, he managed to explain what is going on with the banks and the bailout to Larry King.

CNN

Larry King: Is Obama right or wrong to go after these executives with salary caps?

Donald Trump: Well, I think he's absolutely right. Billions of dollars is being given to banks and others. You know, once you start using taxpayer money, it's a whole new game. So I absolutely think he's right.

King:What about the whole concept of bailouts?

Trump: Well, it's a little bit different. A lot of people are not in favor of bailouts. You know, we talked about all the different things going on in this country. Let's face it, Larry, we are in a depression.

If they didn't do the bailout, you would be in depression No. 2 and maybe just as big as depression No. 1, so they really had to do something. The problem is they're giving millions and billions of dollars to banks and the banks aren't loaning it.

If you are a prime customer of a bank and if you need 10 cents, you can't get it. The banks are out of business. They're not loaning. Now, billions of dollars has been given. They're supposed to be loaning out that money and they're using it for other purposes, so it is a real mess.

And he already calls the current economic situation a depression.