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sabrina 1

(62,325 posts)

30. Derivatives were exactly what Brooksley Born tried to warn about and their reaction to her

Fri Apr 20, 2012, 10:18 PM

Apr 2012

says to me, they KNEW she was right, but they were so greedy, and so unprincipled they felt entitled to profit from something they viewed, obviously, as 'brilliant'. When in reality, all of us could do what they did, it doesn't take brilliance, it takes a depraved lack of principles.

Derivatives were the key reason that American taxpayers were on the hook for the American International Group (AIG, Fortune 500) bailout in 2008. Derivatives also threatened to take down the global financial system when Lehman Brothers collapsed.

When Congress passed Wall Street reforms in 2010, lawmakers left the big decisions of how to regulate derivatives up to supervising agencies. Generally, the Democratic-controlled Congress wanted swaps to be more transparent and safer.

And they got their way again and the people will have to keep paying, until they find a way to stop them, if it's not too late.

Thanks for the links, Octafish.

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Ex-CITIGROUP CEO Blames Glass-Steagall Repeal for Financial Crisis [View all] Octafish Apr 2012 OP

k&r nt steve2470 Apr 2012 #1

CITIGROUP paid ZERO TAXES on $4 Billion in Profit (BTW: CITI rec'd $2.5 TRILLION in the bailout!) Octafish Apr 2012 #15

What an idiot Parsons is. Citi fucked up on bad loans so he blames the government. banned from Kos Apr 2012 #2

No he didn't ... 1StrongBlackMan Apr 2012 #7

No, Citi could have declined to merge with Travelers! banned from Kos Apr 2012 #12

No ... 1StrongBlackMan Apr 2012 #13

We agree. So what? If I allow you to shoot heroin and you die whose fault is it? banned from Kos Apr 2012 #16

the point of regulation cyglet Apr 2012 #23

It's at least partly the fault of the person who makes the heroin available. Jim Lane Apr 2012 #31

did Wells Fargo blame the government? NO! Did JP Morgan? NO! banned from Kos Apr 2012 #3

Passing the buck? Lawlbringer Apr 2012 #4

Parsons is a liar! Hey, Clinton let us combine insurance and banking! banned from Kos Apr 2012 #6

File also under: Be careful what you wish for gratuitous Apr 2012 #5

Absolutely ... 1StrongBlackMan Apr 2012 #9

Sued for not making a big enough profit? hughee99 Apr 2012 #14

Here's what I thought when the Great Bailout of '08 was new... Octafish Apr 2012 #19

Wow - thanks for the repost. Ruby the Liberal Apr 2012 #36

Phil Gramm on Glass-Steagall Octafish Apr 2012 #40

Phil Gramm got banned from Kos? Ruby the Liberal Apr 2012 #44

the link says Citi lost 86% of its value (true) so who does this asshole blame? banned from Kos Apr 2012 #8

So you're saying the repeal of Glass-Steagall was a good thing? randome Apr 2012 #11

No, you dumb fuck! Clinton did not MAKE you combine firms - he LET you do it! banned from Kos Apr 2012 #10

Did you know 'Parental Controls' can prevent messages that contain the word 'Fuck' from being read? Octafish Apr 2012 #18

Here's how I understood the comment... hughee99 Apr 2012 #17

Well we lobbied hard for it cyglet Apr 2012 #24

The REAL blame lies with..... lastlib Apr 2012 #20

Phil Gramm is the Meyer Lansky of the War Party. Octafish Apr 2012 #22

What about Leach and Bliley? progressoid Apr 2012 #35

K&R jwirr Apr 2012 #21

Brooksley Born warned us. Octafish Apr 2012 #25

That was shameful, how they treated that brilliant woman who predicted what happened, and sabrina 1 Apr 2012 #28

Secret Government: When a select few get to run things, things will benefit the select few. Octafish Apr 2012 #29

Now I see why we got that other OP. Wonder why anyone would be angry about learning the reasons sabrina 1 Apr 2012 #26

Things have gotten a LOT worse, sabrina 1. Now We the People are on the hook for the crooks' frauds. Octafish Apr 2012 #27

Derivatives were exactly what Brooksley Born tried to warn about and their reaction to her sabrina 1 Apr 2012 #30

Du rec. Nt xchrom Apr 2012 #32

Geithner’s ‘Dirty Little Secret’: The Entire Global Financial System is at Risk Octafish Apr 2012 #38

Sure thing! Nt xchrom Apr 2012 #43

My financial meltdown began in 1981 about 20 years before the repeal of Glass-Steagall NNN0LHI Apr 2012 #33

I blame the greedhead set -- those with money and power who use it to feather their own nest. Octafish Apr 2012 #41

Repealed by the Gramm–Leach–Bliley Act progressoid Apr 2012 #34

On par with the professional 9-11 storyteller and Condeleeza confidant Philip Zelikow. Octafish Apr 2012 #42

K&R WorseBeforeBetter Apr 2012 #37

K&R varelse Apr 2012 #39

He's absolutely right jmowreader Apr 2012 #45

Kick nt Agony Apr 2012 #46