Best of the Week
Most Popular
1. US Housing Market Real Estate Crash The Next Shoe To Drop – Part II - Chris_Vermeulen
2.The Coronavirus Greatest Economic Depression in History? - Nadeem_Walayat
3.US Real Estate Housing Market Crash Is The Next Shoe To Drop - Chris_Vermeulen
4.Coronavirus Stock Market Trend Implications and AI Mega-trend Stocks Buying Levels - Nadeem_Walayat
5. Are Coronavirus Death Statistics Exaggerated? Worse than Seasonal Flu or Not?- Nadeem_Walayat
6.Coronavirus Stock Market Trend Implications, Global Recession and AI Stocks Buying Levels - Nadeem_Walayat
7.US Fourth Turning Accelerating Towards Debt Climax - James_Quinn
8.Dow Stock Market Trend Analysis and Forecast - Nadeem_Walayat
9.Britain's FAKE Coronavirus Death Statistics Exposed - Nadeem_Walayat
10.Commodity Markets Crash Catastrophe Charts - Rambus_Chartology
Last 7 days
Coronavirus: UK Parents Demand ALL Schools OPEN September, 7 Million Children Abandoned by Teachers - 9th Aug 20
Computer GPU Fans Not Spinning Quick FIX - Sticky Fans Solution - 9th Aug 20
Find the Best Speech Converter for You - 9th Aug 20
Silver Bull Market Update - 7th Aug 20
This Inflation-Adjusted Silver Chart Tells An Interesting Story - 7th Aug 20
The Great American Housing Boom Has Begun - 7th Aug 20
NATURAL GAS BEGINS UPSIDE BREAKOUT MOVE - 7th Aug 20
Know About Lotteries With The Best Odds Of Winning - 7th Aug 20
Could Gold Price Reach $7,000 by 2030? - 6th Aug 20
Bananas for All! Keep Dancing… FOMC - 6th Aug 20
How to Do Bets During This Time - 6th Aug 20
How to develop your stock trading strategy - 6th Aug 20
Stock Investors What to do if Trump Bans TikTok - 5th Aug 20
Gold Trifecta of Key Signals for Gold Mining Stocks - 5th Aug 20
ARE YOU LOVING YOUR SERVITUDE? - 5th Aug 20
Stock Market Uptrend Continues? - 4th Aug 20
The Dimensions of Covid-19: The Hong Kong Flu Redux - 4th Aug 20
High Yield Junk Bonds Are Hot Again -- Despite Warning Signs - 4th Aug 20
Gold Stocks Autumn Rally - 4th Aug 20
“Government Sachs” Is Worried About the Federal Reserve Note - 4th Aug 20
Gold Miners Still Pushing That Cart of Rocks Up Hill - 4th Aug 20
UK Government to Cancel Christmas - Crazy Covid Eid 2020! - 4th Aug 20
Covid-19 Exposes NHS Institutional Racism Against Black and Asian Staff and Patients - 4th Aug 20
How Sony Is Fueling the Computer Vision Boom - 3rd Aug 20
Computer Gaming System Rig Top Tips For 6 Years Future Proofing Build Spec - 3rd Aug 20
Cornwwall Bude Caravan Park Holidays 2020 - Look Inside Holiday Resort Caravan - 3rd Aug 20
UK Caravan Park Holidays 2020 Review - Hoseasons Cayton Bay North East England - 3rd Aug 20
Best Travel Bags for 2020 Summer Holidays , Back Sling packs, water proof, money belt and tactical - 3rd Aug 20
Precious Metals Warn Of Increased Volatility Ahead - 2nd Aug 20
The Key USDX Sign for Gold and Silver - 2nd Aug 20
Corona Crisis Will Have Lasting Impact on Gold Market - 2nd Aug 20
Gold & Silver: Two Pictures - 1st Aug 20
The Bullish Case for Stocks Isn't Over Yet - 1st Aug 20
Is Gold Price Action Warning Of Imminent Monetary Collapse - Part 2? - 1st Aug 20
Will America Accept the World's Worst Pandemic Response Government - 1st Aug 20
Stock Market Technical Patterns, Future Expectations and More – Part II - 1st Aug 20
Trump White House Accelerating Toward a US Dollar Crisis - 31st Jul 20
Why US Commercial Real Estate is Set to Get Slammed - 31st Jul 20
Gold Price Blows Through Upside Resistance - The Chase Is On - 31st Jul 20
Is Crude Oil Price Setting Up for a Waterfall Decline? - 31st Jul 20
Stock Market Technical Patterns, Future Expectations and More - 30th Jul 20
Why Big Money Is Already Pouring Into Edge Computing Tech Stocks - 30th Jul 20
Economic and Geopolitical Worries Fuel Gold’s Rally - 30th Jul 20
How to Finance an Investment Property - 30th Jul 20
I Hate Banks - Including Goldman Sachs - 29th Jul 20
NASDAQ Stock Market Double Top & Price Channels Suggest Pending Price Correction - 29th Jul 20
Silver Price Surge Leaves Naysayers in the Dust - 29th Jul 20
UK Supermarket Covid-19 Shop - Few Masks, Lack of Social Distancing (Tesco) - 29th Jul 20
Budgie Clipped Wings, How Long Before it Can Fly Again? - 29th Jul 20
How To Take Advantage Of Tesla's 400% Stock Surge - 29th Jul 20
Gold Makes Record High and Targets $6,000 in New Bull Cycle - 28th Jul 20
Gold Strong Signal For A Secular Bull Market - 28th Jul 20
Anatomy of a Gold and Silver Precious Metals Bull Market - 28th Jul 20
Shopify Is Seizing an $80 Billion Pot of Gold - 28th Jul 20
Stock Market Minor Correction Underway - 28th Jul 20
Why College Is Never Coming Back - 27th Jul 20
Stocks Disconnect from Economy, Gold Responds - 27th Jul 20
Silver Begins Big Upside Rally Attempt - 27th Jul 20
The Gold and Silver Markets Have Changed… What About You? - 27th Jul 20
Google, Apple And Amazon Are Leading A $30 Trillion Assault On Wall Street - 27th Jul 20
This Stock Market Indicator Reaches "Lowest Level in Nearly 20 Years" - 26th Jul 20
New Wave of Economic Stimulus Lifts Gold Price - 26th Jul 20
Stock Market Slow Grind Higher Above the Early June Stock Highs - 26th Jul 20
How High Will Silver Go? - 25th Jul 20
If You Own Gold, Look Out Below - 25th Jul 20
Crude Oil and Energy Sets Up Near Major Resistance – Breakdown Pending - 25th Jul 20
FREE Access to Premium Market Forecasts by Elliott Wave International - 25th Jul 20
The Promise of Silver as August Approaches: Accumulation and Conversation - 25th Jul 20
The Silver Bull Gateway is at Hand - 24th Jul 20
The Prospects of S&P 500 Above the Early June Highs - 24th Jul 20
How Silver Could Surpass Its All-Time High - 24th Jul 20

Market Oracle FREE Newsletter

How to Get Rich Investing in Stocks by Riding the Electron Wave

Wall Street Banksters Pleased by the Health Care Debate, Focus Off Banking System Reform

Politics / Credit Crisis Bailouts Aug 12, 2009 - 01:41 AM GMT

By: Global_Research

Politics Best Financial Markets Analysis ArticleDanny Schechter writes: New York, New York: The thermometer is in the red as the heat of August blends into the steam of the health care fight. These two hot subjects seem to be fogging up TV screens during these dog days as the righteous right take up the tactics of the militant left to create the impression that health care reform is a commie plot. For his part, President Obama insists a bill will pass and that “sensible proposals” will prevail.


What is “sensible” these days?

You can count on that gruesome threesome—Bill, Glenn and Sean—to go ballistic whenever it appears that our government is going to do anything beneficial for the people. There’s always a million reasons why it won’t work, or worse, sink the Republic. Rush Limbaugh alternates between arguing that President Obama is a racist, a communist or a Nazi.

George Orwell would be staggered about how prophetic he had been.

These summer soldiers and sunshine patriots and their tea baggers and the dispatch a mob they’ve incited to yell at members of Congress are strangely silent when it comes to questioning profiteering by health care insurers and the banks. It is as if the only enemies are in Washington, not on Wall Street. They are mostly silent about the bank bonuses and pervasive corporate crime.

If health care reform is at risk, financial reform seems like a non-starter. The empire is striking back, and suddenly what were once considered modest reforms are running into roadblocks as they are branded the work of Bolsheviks..

On the issue of bonuses—the one financial matter that seems to piss off the public the most---in 2007, banks gave out bonuses worth a staggering $1.6 BILLION--- there is now a debate about allowing bonus guarantees. These were once tied to performance but even that criteria is being watered down.

The New York Times tell us, “A guaranteed bonus might strike many people as a contradiction in terms. But on Wall Street, banks have become so eager to lure and keep top deal makers and traders that they are reviving the practice of offering ironclad, multimillion-dollar payouts — guaranteed, no matter how an employee performs.”

Not a bad job if you can get one ---- you can a bonus even if you do lousy. This debate led the newspaper of record to observe. “The resurgence of bonus guarantees underscores just how difficult it is to control Wall Street pay, despite the public outcry over how taxpayer money is being spent.”

But is worse than that, much worse. I had to go to Canada to find a more comprehensive press report on how the fraud factories are winning the battle against new regulation.
David Olive writes in the Toronto Star, “You would think after global financiers triggered the current, unprecedented worldwide recession and credit crisis, they might embrace inevitable reforms that their reckless conduct made necessary.

You would be disappointed.”

And that’s an understatement, (or to quote Ellen Brown, “its an understatement to call it an understatement,”) Olive tells us that the banks, having bought up much of the Congress, now feel emboldened enough to tell the reformers to shove it:

“For the financiers, to their dishonor, have not so much as tendered an apology for their craven, mass departure from prudence, or what Barney Frank, the Democrat representative for Massachusetts, labels their "moral deficiency."

“Instead, the financiers and their powerful lobby groups are resisting any new legislated constraints on the behavior by which they nearly brought themselves and the global economy to ruin. Adding insult to injury, banks have jacked up credit card rates to 27 per cent and more on the same Main Street taxpayers who rescued them. “

Everyday brings more news of their arrogance and avarice

The Financial Times reports: “US banks stand to collect a record $38.5 BILLION in fees for customer overdrafts this year, with the bulk of the revenue coming from the most financially stretched consumers amid the deepest recession since the 1930s...The fees are nearly double those reported in 2000...

“The Federal Reserve is working on rules on overdraft fees, and rules on customer charges could be a priority of the Obama administration’s proposed Consumer Protection Agency if approved by Congress.”

No wonder the banks want to kill the proposed agency.

Bear in mind, this crisis did not happen by accident or just by some mistakes. It was not an accident argues the The Bond Tangent Blog (Via Baseline Scenario):

“Financial institutions did not amass trillions of dollars of toxic assets and tangle themselves up in a destructive web of credit derivatives by accident. Financial institutions did not produce and maintain technology allowing them to take advantage of traditional investors by accident. A thief was not able to operate a multi-billion-dollar Ponzi scheme for decades by accident. We are not talking about the occasional rogue trader here who has bribed his compliance officer. Even within the existing regulatory architecture, these activities required a considerable amount of complacency (to be polite) by financial regulators across agencies, over the course of many years, and through many cycles of political appointees from both parties.”

Was it complacency or more like complicity? Nothing is likely to change unless there is pressure from below. And that pressure is not going to come from the right.

So where should it come from?

As for the cost of inaction: Obama spoke to that on July 22: “If we don't pass financial regulatory reform, the banks are going to go back to the same things they were doing before," he said "In some ways it could be worse, because now they know that the federal government may think they're too big to fail. And so if they're unconstrained (by stricter regulations) they could take even more risks."

Write that down. Put in a bottle or a time capsule, text it as a memo to yourself on your I-Phone and twitter your followers. If the banksters are not brought to heel, we will have survived this crisis only until the next one erupts.

Mediachannel’s NewsDissector Danny Schechter is finishing The Crime of Our Time,” a film and book on Wall Street Fraud. (www.newsdissector.com/plunder.) Comments to dissector@mediachannel,org
Danny Schechter is a frequent contributor to Global Research.  Global Research Articles by Danny Schechter

© Copyright Danny Schechter , Global Research, 2009

Disclaimer: The views expressed in this article are the sole responsibility of the author and do not necessarily reflect those of the Centre for Research on Globalization. The contents of this article are of sole responsibility of the author(s). The Centre for Research on Globalization will not be responsible or liable for any inaccurate or incorrect statements contained in this article.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Comments

J.P. Parks
13 Aug 09, 13:25
Good Article...sort of.

This is a good article, if you can disregard the first part about healthcare reform. "Sunshine Patriots and their tea-baggers...dispatched mob...are strangely silent when it comes to questioning profiteering by health care insurers and the banks"? Wow.

So, a nationally run, monopolistic healthcare system would only benefit the people of this country, eh? It would be a boondoggle of the first order, waste billions of dollars, and would ultimately benefit those running the system. Congratulations, you're cheerleading for a system that crowds the insurance companies out, and let the gov't and the banks loot the American People...but hey, at least we got rid of those rotten insurance companies.

Oh, and that pesky "dispatched mob" as you call it, seems to me to be a cross section of Americans who are so fed up with Democrats AND Republicans, that they're obliged to do something they're not used to - stand up and let their Representatives know how poorly they are representing them.

Other than that, this was a good article.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules