caused a global collapse precipated by fraudulent ratings of the securities in question.

And I do not share your faith that stronger capital requirements are in place / will be enforced. Part of this entire mess was the SEC not doing its job

This won't be a one-off, in extremis rescue; it'll become a regular business practice.

it'll become a regular business practice.

Sounds good to me. It seems like a pretty solid way to raise government revenues: let banks screw themselves up, take them over, and sell them at a profit.

Screw the third way Democrats, the Republicans, and the too big to fail banks that have them in their back pockets.

fraudulent ratings (but you knew that most likely). Tell me how breaking them up is less that paying for their greed and dishonesty all over again.

By what mechanism exactly, was the "bailout" responsible for the loss of most of your family's net worth?

Last edited Tue Dec 16, 2014, 12:51 PM - Edit history (1)

Obviously the bailout helped only the banks that caused the meltdown while families affected by their immoral and deceitful actions were left to fend for themselves.

Hope things are getting better for you and your family.

If distressed banks could be bought for pennies on the dollar then resold for profit investors would be climbing over each other to buy them. That would obviate this entire discussion. Nobody buys them because they're worthless.

The government mitigating the effects of the market.

make it a certainty of socialism. It is the antithesis of a free market.

Did cromnibus kill Wall Street reform? (updated)

Now...if all you care about is sticking it to Wall Street, the current battle among Democrats over this bill might be worth having. But - if you also care about enforcing the critical aspects of Wall Street reform, Obamacare, the President's actions on immigration, early childhood education, climate change, job growth, and national security - all this hysteria is simply a distraction.

snip//

UPDATE: I just learned that the "push-out" rule that is eliminated in the cromnibus was the brainchild of former Senator Blanche Lincoln. So excuse me if I'm a little skeptical about how important it is. Apparently it doesn't affect all derivative swaps - not even most of them.

In brief, the Pushout required federally insured banks to move-“push out”-some swaps dealing activities to separate subsidiaries that do not have access to federal deposit insurance. This does not apply to all swaps, mind you. Not even to the bulk of them (interest rate swaps, many CDS). But just to commodity derivatives (other than gold), equity derivatives, and un-cleared CDS.

MOre..
http://immasmartypants.blogspot.com/2014/12/did-cromnibus-kill-wall-street-reform.html

That's pure hatred. Won't even consider the idea other than WHO came up with it. Anti-intellectualism.

The average person does not understand and could hardly care less about "push-out." They do care about Obamacare, immigration, early childhood education, climate change, job growth and national security.

"I just learned that the "push-out" rule that is eliminated in the cromnibus was the brainchild of former Senator Blanche Lincoln. So excuse me if I'm a little skeptical about how important it is."
The rejection of the idea it is based on WHO came up with it. Ironic.

Many people haven't recovered, but the banks get to keep risking our economy. And Americans will bail them out again.

And the root causes remain, making a recurrence likely.

Really, they don't think it through. Averting a major depression means no one experiences the major depression, so they can pretend it would never have happened.

Or they think if it happened, it could usher in the "revolution" where we could live under some left wing government of their choosing.



It's about negativity, there is nothing positive to offer.

bailout, not even the loan of a bucket. The banks, who were bailed out, jacked everyone else up for their carelessness. The government protected the criminals and fuck ups, made sure they went unscathed while as usual punishing the people who were wronged. This is the same pattern you see on virtually every level of society, from the torture program to the streets of Ferguson. As above, so below.

The estimates of current hard costs from TARP are about $20 billion, but that does not take into account the amount of wealth transferred from working people to the oligarchs. Add to that the number of working people that lost their jobs, their homes and their hope. The biggest loss to the taxpayers comes from the fact that the banks, brokerages, insurance companies--along with the auto industry--were bailed out yet can still deduct all losses over time. Because of this accounting fraud the true costs of the various bailouts will continue to mount for years to come.

Fa-la-la-la-la... La-la-la-la!