October 15th, 2009
The New Jeremiah:
Alan Greenspan says
Break up the big banks
Watching:
– the news since June re big banks buying Treasuries with their governmental loans and new capital — instead of lending into the economy, and
– now (this week and next) the quarterly results of the big financials,
it became clear that Bill Seidman’s Zombie diagnosis of the winter was correct.
And today (!) we find Alan Greenspan reiterating the prognosis.
ed says:
Larry Summers, former Secy of Tsy, implores big banks to accept regulation.
“Time has come for big change”
WASHINGTON (MarketWatch) –
White House senior economic advisor Lawrence Summers on Friday called on U.S. financial institutions to think about what they can do for their country by stepping up and accepting major financial regulations imposed upon them in the wake of the largest financial crisis since the Great Depression.
“Financial institutions that have benefited from government support can, should, and must use this moment to think about what they can do for their country – by accepting the necessary regulation to protect the American people,” Summers said in remarks prepared for delivery at the Economist’s Buttonwood Gathering in New York.
“There is no financial institution that exists today that is not the direct or indirect beneficiary of trillions of dollars of taxpayer support for the financial system.”
Here’s a larger account of the speech:
http://www.marketwatch.com/story/summers-time-has-come-for-deep-change-for-banks-2009-10-16
October 16th, 2009 at 12:52 pm