Huffpost Politics

Palin Feuds With Bank, Gets Facts Wrong

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Sarah Palin has expanded her blogging to include foreign policy, writing a Facebook post on Wednesday criticizing the U.S. Export Import Bank plan to lend $2 billion to the Brazilian oil company Petrobras.

Jumping off an editorial in the Wall Street Journal, she wrote,

Why is it that during these tough times, when we have great needs at home, the Obama White House is prepared to send more than two billion of your hard-earned tax dollars to Brazil so that the nation's state-owned oil company, Petrobras, can drill off shore and create jobs developing its own resources? Buy American is a wonderful slogan, but you can't say in one breath that you want to strengthen our economy and stimulate it, and then in another ship our much-needed dollars to a nation desperate to drill while depriving us of the same opportunity.

While the Journal lamented the fact that we were exploring for oil offshore in Brazil and not in our own country, it did not suggest the deal would take jobs or income away from Americans. That's because it won't. A spokesman for the U.S. Export Import Bank, Phil Cogan, explained to Politico that the bank does not rely on taxpayer money. Moreover, the bank lends money to foreign companies so that they can purchase American goods and services.

In this case, Cogan said, the proposed loan would likely finance engineering services, sales of ships to service oil platforms, or drilling equipment.

"This is the government doing what it's supposed to do: Create jobs and make sure that Americans get a fair shot at selling goods and services -- not the British or the French or anyone else -- and to help American workers compete on a level playing field," Cogan said, noting that most developed countries have similar credit-export agencies.