How do we not see the writing on the wall regarding our financial system. Here is a great article on how the banking systems have become no more than a casino and they are the house and client. No wonder things are screwed up. Instead of blaming those on medicare or food stamps maybe we should look at the real cause of the financial mess. Oh I forgot to watch the Grammy's last night because I was educating myself on some bigger issues. Time well spent in my view.
What is the proper role and social function of a bank? Welcome to New Economy 101.
posted Aug 30, 2010
-
As they say, to get the right answer you have to ask the right
question. I’m stunned by how often news reports on Wall Street ask the
wrong question, as do our politicians. The August 26, 2010,
New York Times front page story
“Despite Reform, Banks Have Room for Risky Deals” is a case in point.
The article centers on the Volcker Rule provision of the new
financial regulation legislation that “sought to prevent federally
insured banks from making speculative bets using their own money.” The
legislation seems to presume that it is OK for banks to serve as bookies
who set the odds and hold bets for gamblers (euphemistically referred
to in the article as investors) so long as the banks don’t put their own
money in play.
No comments:
Post a Comment