OUR EYE ON THE WALL STREET MELTDOWN
Tonight, BILL MOYERS had a finance show. I hastily made notes. The First guest complained " the men who set the fire, ( the arsonists really), are now dressing up as firemen and racing to the fire saying 'we're gonna fix it.' (hilarious! Wotta concept!)
What we're seeing is a tendency to Privatize the profits. let government step in and pay for the losses. Corporate Welfare Next guest: KEVIN PHILLIPS (l0 min video if U click.) was next guest, author of AMERICAN THEOCRACY which you can get at ABEBOOKS used, for a buck, and new book, BAD MONEY.
Bill said "Explain that title" Well, BAD MONEY is what has happened. Crooked people. And that drives out the good investors who won't come to America now. Also, a bad, tricky Wall street means even semi honest financiers have to pull tricks to compete.That's what they've been doing last decade. Wall street made money for the last 25 yrs, no? Answer: For a few. Contrast that with all workers a generation ago. In the 50's auto workers had lake cabins for vacations. The Manufacturing sector was neck and neck with finance sector then. but FINANCE has been prefered for a generation now, for getting government attention so bit by bit they got bigger. Consumerism pushed to nth degree, everyone got deeper in debt, that created the rise of mortgage, credit cards, gimmicks industry. Those 'debt' products are now laying an egg. Alan's chairmanship 87, starting with the crash, and since then turned on the spigots, tech bubble in 99, then 911, requiring more stimulus. upshot is during greenspan's tenure, 'the total credit market debt' in the USA quadrupled from 11 trillion to 46 trillion.
He wouldn't puncture a bubble, crack down on exotic mortgages. He gave finance what they wanted.
The Bubble started with Reagan, Clinton and Rubin kept it going, Bush enlarged it so very cross party, no single party has the blame. Remember the Clinton Rubin abrogation of Glass Steagall Law of 1933 that FDR put in effect to restrain real banks from doing securities work. No, it was a bi partisan disaster/ errors all the way.
Financial mercantilism was always a sinking boat but survived this long with the gov bailing out, a 25 yr trend. Public should get angry, ask for more regulation. A fix? Well, the horse is way out of the barn. Drunks feel better during a hangover having another drink and likewise, FINANCE may try to keep up with their dirty tricks.
The GOV should have accepted tough medicine last year, not tried to rescue every stranded corporation.
Are we at the bottom? What measurement do we use? Real estate going lower? Nationally we lost 30% of the value of homes. Dow will go into 9000 range. It was 1200 in 2000 Home values always reflect loss of pts in the market. We have market crashing banks flopping, a Buildup of debt, home prices collapsing global commodity inflation, deceptive gov economics statistics (!) peak oil, the world running out! so that it's not just commodity inflation it's real scarcity. And last, the collapsing dollar. Vis a Vis the EURO. Sinking daily.
When MC CAIN sez fundamentals are solid? He proves he's a jerk. He knows nothing about economics.
PAULSON is your typical Treasure Sec, has to exaggerate, puff the health, negate the recession.
PHIL GRAMM too, he and his wife were once called MR AND MRS ENRON, and like MCCAIN Texas senators, served Enron and oil. Obama no better, his pick Biden was tied in with the fannie mae freedie mac crash. No help will appear via these candidates. We're going into a couple of difficult decades.
The demos will try a new deal, try to Bail out wall street while you're denying some people soc security...making S.S. voluntary, on a need tested basis. Eradicate some of the folks who expect a pension.
BUSH was the biggest disaster we ever could have had. There are some GOP truth tellers though. Senator Grassley of IA called the fannie bill a pay off for wall street. Senator Shelby opposes the bail outs, they are Republicans but the NATIONAL REPB PARTY the GOP doesn't feel that way. They salute Wall street.
Senators funded by lobbyists don't argue with the concept of bail outs.
I'd like to see Obama or the new president, whoever it is, say 'something has gone wrong.
We let this Las Vegas version of banks go bezerk. Our currency has problems. People
are losing homes. Let's talk about how this happened, why, who made the money.
but you don't rock the boat. New deal in a bottle, a couple of swigs and you'll
be happy again.
Mc Cain a reformer? "What you osmose in a naval family, pah. he has no knowledge. He'd have a republican package. That's how they think. Phil Gramm told us we were a nation of whiners.
KEVIN PHILLIPS BOOK REVIEW AT NY TIMES by Daniel Gross. Writes the Money Culture column for Newsweek and the Moneybox column for Slate. GOOGLE THAT GUY! Read this:
Moyers added a bit on Yankee stadium, its private rooms for rich people to watch the game and party, how seats for commoners would cost 80$ each. Said people paid for it. TAX FREE BONDS pay for parks, stadiums, highways, taxes paid for them. Not privatized.
NOW FOR THE FUN PART. See the men who actually DID THIS TO US: ALL FINANCE INDUSTRY CEOS: l0 MEN who you want to get familiar with. (CLICK ON LINE UP) That's the ROGUES GALLERY! The attack of the KILLER ZOMBIES dead hearts who had to eat live ones to survive, the men who ate Wall Street. They are:
Lehman's DICK FULD personally pulled 354 million from his company. Greedy Bastard Numero UNO!
Stan O'neal of Merrill Lynch, grabbed 61 billion for himself. Should he lose his job?
Bear Stearns CEO James Cayne, after collapsing his biz, he sold his billion dollar stake for 60 mil. ie six cents on the dollar! CRUMB BUM GETS 6% KARMA.
Richard Syron of the Freddie Mac neglected signs the thing was dying under him.
Daniel Mudd of the Fannie Mae got millions for guiding ship into the rocks.
The other five are on the article here to right, VIEW THE rest of the LINE UP Of SHARKS WHO ate Wall Street. You can get the whole show probably at BILL MOYERS JOURNAL AT PBS org website.
"Once children are indoctrinated into the expectations of a domination society, they may never outgrow the need to locate all evil outside themselves. Even as adults they tend to scapegoat others --the Commies, the Americans, the gays, the straights, the blacks, the whites and now Wall Street, --blaming THEM for all that is wrong in the world."
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