Deregulate Wall Street to solve all the problems

[Toro]

I am generally sympathetic to reinstating GS but the problem really wasn't GS. Even if commercial and investment banks were completely separate, the way MBS worked was that the buyers could put back the mortgages before a certain time if they became nonperforming. The banks originated the mortgages who sold them to the investment banks. The only really big bank to which the cross selling applied in a big way was Citi. Otherwise, it was Wachovia selling to Goldman, BofA selling to Lehman, etc. Then, when the loans started to fail, they started being put back to the banks. This had nothing to do with GS.

But the real problem was that Wall Street kept the equity pieces of CMBS, CDOs, etc on their balance sheets. So when the loans started to fail, like termites, defaults began to eat through the lower tranches of the structured products. I do not know why this would not have happened had GS been in place. Now, I think the OP is incredibly naive and devoid of understanding about how modern day finance works, but the repeal of GS had little to do with the Financial Crisis.

In the first sentence, I wrote "repealing" when meant to type "reinstating". I have corrected it.

 

[Toro]

I am generally sympathetic to repealling GS but the problem really wasn't GS. Even if commercial and investment banks were completely separate, the way MBS worked was that the buyers could put back the mortgages before a certain time if they became nonperforming. The banks originated the mortgages who sold them to the investment banks. The only really big bank to which the cross selling applied in a big way was Citi. Otherwise, it was Wachovia selling to Goldman, BofA selling to Lehman, etc. Then, when the loans started to fail, they started being put back to the banks. This had nothing to do with GS.

But the real problem was that Wall Street kept the equity pieces of CMBS, CDOs, etc on their balance sheets. So when the loans started to fail, like termites, defaults began to eat through the lower tranches of the structured products. I do not know why this would not have happened had GS been in place. Now, I think the OP is incredibly naive and devoid of understanding about how modern day finance works, but the repeal of GS had little to do with the Financial Crisis.

1) it was a huge bit of deregulation that the liberal can't resist trying to exploit, no matter how insane it is to do so

2) Wall street kept the stuff on their book as if to prove they were not crooks but , like the rest of us, simple folks who had no idea what was about to happen.

They all did it so they all behaved as reasonable business people it would seem. Why did it happen in housing/banking rather than beer or steel?? Because those markets were not distorted by liberal government. Imagine if much of the Federal government had been organized to get people all the beer and steel they wanted but could not afford??

You might be taken more seriously if you didn't keep referring to everything as "liberal" this and "Republican" that.

 

[uscitizen]

Its really very simple. The liberals have taught everyone that they've got it under regulatory control so everyone hands over their money and it gets stolen.

In a free Republican/libertarian/capitalist economy everyone would in effect be a regulator. They would demand assurances; if Wall Street did not provide them Wall Street would disappear.

That is a totally insane viewpoint.

any reason or just a typical dumb liberal who does not know to have a reason???

Your last sentence is a delusional pipe dream it would not work at all.

 

[Rshermr]

Or show me an independent study showing that liberals are[stupid]

The Liberal Mind: The Psychological Causes of Political Madness by Lyle H. Rossiter, Jr. and M.D. (Oct 30, 2006)
(61 customer reviews)



dear the liberals opppose the Constitution. Is that stupid??

dear the liberal spied for Stalin. Is that stupid??

dear the liberal gave Stalin the bomb. Is that stupid??

dear the liberal tried to get everyone into homes the Republican free market said they could not afford and caused a depression. Is that stupid?

dear, the liberal created the Great Society that amounted to a near genocide against American blacks. IS that stupid.

Dear the liberal sought to control the economy through the Federal Reserve and caused the Great Dperession. Is that stupid???


see why we are positive a liberal will be slow, very very slow??

Dear, ed is full of crap.

 

[Rshermr]

, which states that MBS instruments were the cause of the crash that occurred in 2008.

actually they were merely a symptom of the liberal housing bubble that was consciously pumped up by the eternal liberal dream of controlling the economy and providing welfare entitlements so everyone could own a home that the Republican free market said they could not afford.

Well ed. I knew you would say this before you did. Because you are a con dogma a pusher. But, of course, it is pure con drivel, attempting to prove that the crash was a result of the home buyers, and not Mortgage Backed Securities. Because cons are provided their info by the very people who benefited from the sales of those securities. So we could either believe you, as the economic expert you believe you are, or the experts who explain what they believe in detail. Or a ceo of one of the largest banking companies in the US. I, for one, will take those who know something. rather than you who know nothing.
You say MBS instruments were a symptom of the crash, but in fact they came before and were the primary cause. You see, ed, if they had been a symptom, they would have been a result of the crash, and therefor happened afterward.

 

[Rshermr]

Or show me an independent study showing that liberals are[stupid]

The Liberal Mind: The Psychological Causes of Political Madness by Lyle H. Rossiter, Jr. and M.D. (Oct 30, 2006)
(61 customer reviews)

Ed, great job. Except this book has nothing to do with a study of any kind, is not at all independent. It does not say that liberals are stupid. So, you picked a book by Rossiter, who is a wack job most often compared to Michael Savage, and who writes pretty much only for right wing web sites. You should perhaps look up the meanings of study and independent.

dear the liberals opppose the Constitution.

dear the liberal spied for Stalin. Is that stupid??

dear the liberal gave Stalin the bomb. Is that stupid??

dear the liberal tried to get everyone into homes the Republican free market said they could not afford and caused a depression. Is that stupid?
dear, the liberal created the Great Society that amounted to a near genocide against American blacks. IS that stupid.

Dear the liberal sought to control the economy through the Federal Reserve and caused the Great Dperession. Is that stupid???

Dear, ed is full of crap.

see why we are positive a liberal will be slow, very very slow??

Still have not found an independent study that shows cons to be stupid? You obviously did not check out my last link. there are literally hundreds of articles out there about it. But, if you do not want to check that one out, try this one:
.
http://www.opednews.com/Quicklink/It-s-Official-Watching-Fo-in-General_News-120522-817.htmtil
Of course, if you simply check the responses to you statements, you will quickly see that most people agree that you, as a con, are indeed, Stupid.

 

[Rshermr]

I am generally sympathetic to repealling GS but the problem really wasn't GS. Even if commercial and investment banks were completely separate, the way MBS worked was that the buyers could put back the mortgages before a certain time if they became nonperforming. The banks originated the mortgages who sold them to the investment banks. The only really big bank to which the cross selling applied in a big way was Citi. Otherwise, it was Wachovia selling to Goldman, BofA selling to Lehman, etc. Then, when the loans started to fail, they started being put back to the banks. This had nothing to do with GS.

But the real problem was that Wall Street kept the equity pieces of CMBS, CDOs, etc on their balance sheets. So when the loans started to fail, like termites, defaults began to eat through the lower tranches of the structured products. I do not know why this would not have happened had GS been in place. Now, I think the OP is incredibly naive and devoid of understanding about how modern day finance works, but the repeal of GS had little to do with the Financial Crisis.

1) it was a huge bit of deregulation that the liberal can't resist trying to exploit, no matter how insane it is to do so

2) Wall street kept the stuff on their book as if to prove they were not crooks but , like the rest of us, simple folks who had no idea what was about to happen.

They all did it so they all behaved as reasonable business people it would seem. Why did it happen in housing/banking rather than beer or steel?? Because those markets were not distorted by liberal government. Imagine if much of the Federal government had been organized to get people all the beer and steel they wanted but could not afford??

Great, ed. I am sure that we will all keep your profound statements mind. Its down to you and an ex CEO of one of the largest commercial banks in the US. Should we have a vote???
You know, ed, you could just direct us to the local tea party web and we could see all your answers before you give them. Imagine what time it would save you.

 

[EdwardBaiamonte]

you could just direct us to the local tea party web and we could see all your answers before you give them. .

Tea Party??? as if the Founders and their Constitution were not all about freedom from big liberal government too.

If you object to basic American principles why are you so afraid to say exactly where your disagreement is. What does your fear tell you? Why not move to Cuba rather than subvert our country?

 

[EdwardBaiamonte]

The Liberal Mind: The Psychological Causes of Political Madness by Lyle H. Rossiter, Jr. and M.D. (Oct 30, 2006)
(61 customer reviews)

Ed, great job. Except this book has nothing to do with a study of any kind, is not at all independent. It does not say that liberals are stupid. So, you picked a book by Rossiter, who is a wack job most often compared to Michael Savage, and who writes pretty much only for right wing web sites. You should perhaps look up the meanings of study and independent.

dear the liberals opppose the Constitution.

dear the liberal spied for Stalin. Is that stupid??

dear the liberal gave Stalin the bomb. Is that stupid??

dear the liberal tried to get everyone into homes the Republican free market said they could not afford and caused a depression. Is that stupid?
dear, the liberal created the Great Society that amounted to a near genocide against American blacks. IS that stupid.

Dear the liberal sought to control the economy through the Federal Reserve and caused the Great Dperession. Is that stupid???

Dear, ed is full of crap.

see why we are positive a liberal will be slow, very very slow??

Still have not found an independent study that shows cons to be stupid? You obviously did not check out my last link. there are literally hundreds of articles out there about it. But, if you do not want to check that one out, try this one:
.
OpEdNews - Quicklink Missing
Of course, if you simply check the responses to you statements, you will quickly see that most people agree that you, as a con, are indeed, Stupid.

If conservatives are stupid why be so afraid to present your best evidence. Lets see, conservatives build American on the principle of freedom from liberal government, while liberal communists built the USSR.

What does that tell you about who his smarter?