Wall Street Declares War on Warren

Discussion in 'Politics' started by georgephillip, Sep 11, 2019.

  1. Mac1958
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    Mac1958 Diamond Member

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    Just another nut on a message board
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    Oh, I hope you're kidding about being in the business. If that's the case, you're THE FIRST person I've run into who tries this crap.

    AIG let the traders get away with it because (a) THE FEES and (b) NO RESERVE REQUIREMENTS. This kind of shit was happening EVERYWHERE, because Greenspan made Wall Street the Wild West by refusing to regulate. Like Goldman and John Paulson creating shit securities specifically to be SOLD and SHORTED, making Paulson TWO BILLION and GS who knows HOW much. Like ratings agencies giving these shit securities AAA, Treasury-fucking-level, ratings to keep the FEES coming in.

    And how much in CDSs? I dunno, I've heard $80 billion. Whatever the number, it was enough to sink AIG, send them crawling hat in hand to Hank Paulsen, suck up a bailout, and (most importantly) mightily contribute to the domino of panic that was gripping markets and freezing up credit. And this was just one piece of the fucking nightmare.

    Play this game with someone else. I'm done.
    .
     
  2. georgephillip
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    georgephillip Platinum Member Supporting Member

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    Fraudulent mortgages the vast majority of which came from the lender side of the table; does capitalism even exist without systemic fraud?

    FBI saw threat of loan crisis

    "WASHINGTON —

    "Long before the mortgage crisis began rocking Main Street and Wall Street, a top FBI official made a chilling, if little-noticed, prediction: The booming mortgage business, fueled by low interest rates and soaring home values, was starting to attract shady operators and billions in losses were possible.

    "'It has the potential to be an epidemic,' Chris Swecker, the FBI official in charge of criminal investigations, told reporters in September 2004.

    "But, he added reassuringly, the FBI was on the case. 'We think we can prevent a problem that could have as much impact as the S&L; crisis,' he said."
     
  3. Toddsterpatriot
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    Toddsterpatriot Diamond Member

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    Like ratings agencies giving these shit securities AAA, Treasury-fucking-level,

    Yeah, crappy mortgages that weren't restricted by Glass-Steagall.

    And how much in CDSs? I dunno, I've heard $80 billion.

    $80 billion? And how big was the mortgage market?

    Play this game with someone else. I'm done.

    Of course you are.
     
  4. Natural Citizen
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    Natural Citizen Platinum Member

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    The benefit of this kind of deeper discussion is for that of the casual passers-by who simply don't understand how it really works. Or who have never heard it before.

    Toddster's just a punching bag who affords us the opportunity to speak to the casual passer-by without having to do so seperately in every instance. A useful idiot. His pride gets the best of him and he just keeps right on giving us the mic. Ha. It's great.
     
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  5. buttercup
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    buttercup Gold Member

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    What a willfully ignorant thing to say. Yes, plenty of people DO care about that distinction, namely people who value truth. Give it up, your stubborn pride is causing you to say blatantly false things.
     
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  6. georgephillip
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    georgephillip Platinum Member Supporting Member

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    Why do you feel the need to lie about this aspect of reality?
    [​IMG]
    Mortgage-backed security - Wikipedia
     
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  7. Natural Citizen
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    Natural Citizen Platinum Member

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    Actually it's his total lack of understanding of economic theory and monetary policy, compounded by a lack of understanding of definitions of what kind of policies we actually have, that causes him to say blatantly false things.

    Agreed, though, that his pride is outweighed only by his ignorance to such matters.

    As I'd mentioned, though, he's useful in that regard.
     
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    Last edited: Sep 15, 2019
  8. Toddsterpatriot
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    Toddsterpatriot Diamond Member

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    People care so much that not a single nation today uses "money".
     
  9. Toddsterpatriot
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    Toddsterpatriot Diamond Member

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    A pool of mortgages divided into 3 pieces is still a pile of mortgages.
     
  10. georgephillip
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    georgephillip Platinum Member Supporting Member

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    Bubbles happen because liars lie.

    Harper's Slow Crash | Michael Hudson

    "Have you ever heard of someone sitting on Wall Street who read Harper’s in May 2008 and acted appropriately?

    "I don’t think they needed me. If they’re on Wall Street, they didn’t need me to tell them that the economy is going to collapse. They all knew it was going to collapse.

    "That was in the language of 'liar’s loans' and 'NINJAs.'

    "It was pretty obvious what was going on. It’s just the media didn’t talk about it because the media was giving handouts from Alan Greenspan saying that it’s not possible for there to be a real estate collapse, it’s only local.

    "The media are cheerleaders for the stock market. Whenever it goes up they celebrate, even if it goes up because there’s a short squeeze on speculators. The media have not done a good job in educating the American public."
    [​IMG]
    "Fig. 1: Robert Shiller's plot of U.S. home prices, population, building costs, and bond yields, from Irrational Exuberance, 2nd ed.[1] Shiller shows that inflation-adjusted U.S. home prices increased 0.4% per year from 1890 to 2004 and 0.7% per year from 1940 to 2004, whereas U.S. census data from 1940 to 2004 shows that the self-assessed value increased 2% per year."

    United States housing bubble - Wikipedia
     

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