10-14-2012, 10:54 AM
Join Date: Oct 2005
Member Number: 728
Thanked 210 Times in 135 Posts
Re: lets put an end to the strangle hold ....
Originally Posted by Vincent
This presidential election is no different than any of the other 10 that I've voted in, in that it presents us with a very poor choice between evil and less evil.... Except that one could make the argument that its the most important in history
OK - I will take the bait - please make the argument this election is more important than the ... ummm ... 1860 election
If Mitt was an agent of bold change he would not have morphed into Mitt the Moderate during the first debate
Bottom line is both parties are owned by the interests that drove the economy off the cliff in 2008 and you are not going to get significant change until those circumstances change
There is an instructive column in today's New York Times regarding the new book by the former FDIC chairman that illustrates how Bush's Treasury Secretary and Obama's future Treasury Secretary (and arguably his worst appointment) knew who their real bosses were
It has become almost unpatriotic to question the many and munificent bank rescues of 2008 and beyond. If you have the temerity to do so, you’re likely to hear that the bailouts were the only thing standing between us and financial obliteration. You will also be told that, four years on, many of the bailouts have made money. ...
But Sheila C. Bair, former chairwoman of the Federal Deposit Insurance Corporation, is well positioned to question the dogma of the bailout brigade. And she does so repeatedly in “Bull by the Horns,” her new book about the crisis. As one of the main participants in the battles surrounding the rescues, and perhaps the coolest head in attendance, Ms. Bair provides some straight talk that represents an important piece of history and a rebuttal to the conventional wisdom.
As described by Ms. Bair, the events of the fall of 2008 showed that many financial regulators were desperate to make anyone but those who created the crisis pay for its devastation. ...
But perhaps the most telling anecdote is from early October 2008, when Henry M. Paulson Jr., the Treasury secretary, summoned Ms. Bair to his office. No reason was given for the meeting. When she arrived, Ben S. Bernanke, the Federal Reserve chairman, was already there. Timothy F. Geithner, then the president of the New York Fed, was on the phone.
Handed a piece of paper, Ms. Bair saw that she had been ambushed. It was a script, prepared for her by the Treasury and the Fed, stating that the F.D.I.C. was moving to guarantee all the liabilities in the financial system. Astonishingly, the guarantee would cover all bank depositors and even protect unsecured claims against institutions. In short, the F.D.I.C. was being asked to back “everybody against everything in the $13 trillion banking system,” Ms. Bair writes.
Dumbfounded, she told the men she had to discuss the plan with the F.D.I.C. board. Over a few days, they came up with a better, less costly plan.
If she had gone along, Ms. Bair said in an interview last week, “everyone who held bank debt would have immediately gotten a windfall profit,” as their bonds and other bank securities rose in value on the F.D.I.C. backing. “Of course, I wasn’t going to do that,” she adds, “and we ended up with a program that only guaranteed the renewal of expiring debt, which is where the problem was. And we charged a fee.”
Ms. Bair didn’t know it at the time, but this was the first of many situations when the Treasury and the Fed hoped to leave the F.D.I.C. holding the bag
There is only one party in the United States, the Property Party...and it has two right wings: Republican and Democrat.
Gore Vidal - Matters of Fact and of Fiction: Essays 1973-1976