Tag Archive for ‘Wall Street’
According to John Harwood in The New York Times, public support for “reining in Wall Street” has Democrats about as exuberant as Democrats ever get any more. Scared Senate Republicans are looking for deals to cut. The public wants this thing, with three-fifths supporting it in a recent poll. Democrats—who always do the public’s bidding—are ready to close the deal.
Hank Paulson, the Gold Sachs bankster/U.S. Treasury Secretary, who deregulated the financial system, caused a world crisis that wrecked the prospects of foreign banks and governments, caused millions of Americans to lose retirement savings, homes, and jobs, and left taxpayers burdened with multi-trillions of dollars of new U.S.debt, is still not in jail.
In the January 2010 issue of Chronicles, University of South Carolina law professor William Quirk noted that the federal government is “propping up Wall Street with $23 trillion in cash and commitments.”
The Bush-Obama bailout-stimulus plans are not going to work. Both are schemes hatched by a clique of financial insiders.
What explains the paradox of the dollar’s sharp rise in value against other currencies (except the Japanese yen) despite disproportionate U.S. exposure to the worst financial crisis since the Great Depression?
The answer does not lie in improved fundamentals for the U.S. economy or better prospects for the dollar to retain its reserve currency role.
I am not an economist. I do not want to be an economist, because I do not believe there is a science of economics, and from all I can gather there is no kind of economics being practiced today, at least in high official circles, except “voodoo economics.” If I were wrong, then there would have been a consensus of economic experts on what would happen if, say, Congress deregulated the mortgage industry and encouraged lenders to issue mortgages for hundreds of thousands of dollars to people who might not be able to buy a cheap used car from Sleazeball Joe’s No-Money-Down used car lot.
No, it is not fair. Yet, Treasury’s Hank Paulson may be right. To save the sheep who might have been wiped out in a general financial panic, we may have to save the pigs.