Hillary, Bernie, and the Banks

[Uncle Joe]

This would take a huge toll. Although the banks have repaid the billions we lent them in 2008, many Americans are still living with the collateral damage from what occurred – lost jobs, savings, and homes.

But rather than prevent this by breaking up the big banks and resurrecting Glass-Steagall, Hillary Clinton is taking a more cautious approach.

(snip)

All this makes sense. And in a world where the giant Wall Street banks didn’t have huge political power, these measures might be enough.

But, if you hadn’t noticed, Wall Street’s investment bankers, key traders, top executives, and hedge-fund and private-equity managers wield extraordinary power.

They’re major sources of campaign contributions to both parties.

In addition, a lucrative revolving door connects the Street to Washington. Treasury secretaries and their staffs move nimbly from and to the Street, regardless of who’s in the Oval Office.

Key members of Congress, especially those involved with enacting financial laws or overseeing financial regulators, have fat paychecks waiting for them on Wall Street when they retire.

(snip)

Given all this, Hillary Clinton’s proposals would only invite more dilution and finagle.

The only way to contain the Street’s excesses is with reforms so big, bold, and public they can’t be watered down – busting up the biggest banks and resurrecting Glass-Steagall.

http://robertreich.org/post/130820178090

There is more on the link.

[think]

1. K&R.

[azmom]

2. They don't contribute to Bernie.

Go Bernie Go.

[Uncle Joe]

3. You got that right, azmom.