Posted on 05/31/2015 9:26:06 AM PDT by dila813
The problem I have is the risk averse environment that is being created in the population as a whole. Basically the profit tap is going to get turned off if one wrong move can ruin a person’s entire future (which is where we are). The cost isn’t 2%, it’s incalculable.
No, but you are missing something.
Because...If a bank is able to be backed up by the Government, they pour more and more money into investments that aren’t generating returns in order to prop up their previous investments to prop up their own balance sheets.
This means that money is being devoted to losers and new entries that could become real winners are denied.
This is making money out of money without anything real backing it up.
Wall Street is the public face of the Federal Reserve system. it has become a crony-capitalist feed-back loop for funding the growth of progressive government and corrupt politicians.
Fake money and manipulated interest rates are destroying the Republic.
Maybe.
So this is the new meme? Obamanomics is such a freaking FAILURE that we will blame Wall Street? Has the “Bush’s fault” repetition finally worn out?
Anyone know how close Wall Street and Obamanomics are? Very close.
Let’s cut the crap. An ever growing federal government is to blame.
Part of the Fedzilla is a suckup to the Wall Street bankers.
Shrink the feds, you’ll grow the economy.
If I was running the show, I’d force Wall Street back into doing nothing but facilitating finance for businesses: I’d outlaw all financial instruments whose sole purpose is gambling, namely I’d outlaw all derivatives, all margin transactions, all naked shorts and longs of any kind, all options, all futures contracts except those where one side is held by an entity that owns the underlying commodity (and the commodity is tangible), and all shorts on anything except stocks of businesses that make something or provide a service.
Back in 2010, I thought these big banks would “Voluntarily” break themselves up into any number of separate operating divisions in order to avoid certain regulations and to increase the value of the whole.
Now they are facing efforts that would “force” them to separate. They may have missed the opportunity to control the process.
But most of the complex regulations impacted all banks and brokers.
If there was more of a carrot, they would have.
We have Anti-Trust Laws for a reason. This is the biggest anti-competitive trust that has ever been allowed to exist.
Derivatives.
Most folks have absolutely no idea what this is, never mind how big this market really is.
I suppose the question of risk and hedging risk needs to be asked when you call for its abolishment.
It’s a big arena filled with a boat load of really cleaver people and their equally cleaver counterparts that will always find eager and willing participants.
The problem isn’t with these instruments, the problem is that these government backed instruments are able to manipulate the results of their bets.
1. WALL STREET 2% of the GDP..... too big
2. GOVERNMENT (useless produces nada) 25% of the GDP
3. LIBTARDS TAKE HUNDREDS OF MILLIONS IN “CONTRIBUTIONS” FROM WALL STREET then engage in crony kickbacks
4. LIBTARDS THEN PASS LAWS FAVORING WALL STREET
5. LIBTARDS THEN COMPLAIN ABOUT WALL STREET
6. CORPORATE TAX RATE IN THE USSA 35% REST OF WORLD MUCH LESS
the article is half assed half baked and another libtard crock of shit served up as filet mignon to the STUPID ILL INFORMED MERICANS
The fact that you ridicule the article because it doesn’t make your broader argument is sad.
You have to learn to accept the good of something even when it omits other areas that you are concerned about.
Not everyone is the master mind of everything that is or will ever be.
I think we can agree that there are conservative principles that we would be in a much better situation now.
This is the biggest anti-competitive trust that has ever been allowed to exist.
I agree.
It has become a symbiotic relationship.
Markets for money will always exist at whatever the market will bear. Risk taking alternative lenders have already moved into the space that was once occupied by their local commercial banks.
The big banks on Wall Street are seemingly only there to facilitate the sale of Gov’t debt. They underwrite equity deals that are far from speculative and make certain the only deals they see can be sold. Their sales network for equity used to include thousands of “Stockbrokers” at hundreds of firms that talked to another larger group of individuals that were willing to take risk for any number of reasons.
Today, we have IPO’s that are all virtually “pre-sold” to institutions.
Where’s the risk ?
Back in the early 1990’s the Banks wanted to be brokers and the brokers wanted to be Bankers. Well, they got their wish.
They got their wish and I can’t for the life of me understand how the “risk-less” banker mentality was able dominate.
Hollywood overpaid much? Union bosses? Pro sports? No mention.
Everything carries a cost. If you select based on accounting skills what you will get is a nation full of accountants.
The reason why there are so many loser loans is because there are too many loans altogether. Banks are picking winners and losers because they are far too entrenched in the minutia of people’s lives. The fact that taxpayers are on the hook to bail them out is not the cause of the problem so much as one of symptoms.
You want to break up banks AND rollback regulations. You are an oxymoron.
Anti-speculation is a commie attitude. What do you think about that?
Big Banks are a government creation, not breaking them up is pro-big Government.
Agreed, but you could’ve picked a better spokesman.
Just sayin’.
Dodd-Frank is just part of a bigger trend toward Corporatism.
All actions of the FED in the past 9 years, including the first part of the Pelosi-Reid reign have been toward Corporatism.
Currently Humana Healthcare is on the block as the Healthcare industry is forced by ACA, Medicaid and Medicare (CMS) to consolidate. CMS is squeezing out the small hospitals, the rural hospitals and those that serve the poor. CMS is forcing the consolidation of hospital corporations. CMS is forcing physicians in private practice to become indentured servants of one of the big hospital conglomerates.
The CMS premise is exactly the same premiseI that built Public Housing highrises in our cities, such as Cabrini Green.
It is more efficient to deliver money and services when the recipients are efficiently concentrated. Make no mistake, the job of the healthcare provider is now to serve the CMS and its bureaucracy and rules and ever changing regulations. Imposing ICD10 is expensive and unworkable? Don’t worry. CMS will constantly change it (uh improve it) which means its cost will rapidly increase.
But no fear, like a protestor who breaks the window of the bakery, breaking the healthcare system provides more jobs for us IT consultants, and more jobs for bureaucrats to constantly improve the regulations.
Now just ask Bastiat and Hazlitt what they think of that.
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