Economic Fallacies Libs Believe

[Billy000]

-Wall Street hedge funds managers don't produce anything

These days, they don't produce much. Read their filings. Very little of their investments are venture capitalism any more.

Congrats. You are winning kudos from liberals all over. Keep it up.

I am telling the truth. It can't be helped you are parroting some bullshit that is outdated.

Seriously. Read their filings. If you know how. Less than ten percent is venture capitalism.

Seriously you are one very stupid individual.

You're coming across like a 5 year old douche you know that right?

 

[g5000]

RealClearMarkets - The SEC Killed Wall Street On April 28, 2004

 

[C_Clayton_Jones]

-Reagan began exporting manufacturing jobs overseas.
-The economy was doing great under Carter
-Higher taxes are paid by the rich, or corporations or someone else
-If the US runs a trade deficit we are in danger of shipping all our money overseas
-Regulations make business stronger
-Bush was responsible for the melt down
-Deregulation was responsible for the melt down
-Deficit spending stimulates the economy
-Minimum wage laws benefit low skilled workers
-Consumer spending drives the economy
-Unfettered capitalism results in disaster
-Wall Street hedge funds managers don't produce anything
-The Wealthy keep their money in cash in mattresses.

Feel free to add your own.

lol

Given your posting history, this thread included, you're in no position to accuse others of engaging in fallacies – particularly when your own thread premise fails as a fallacy.

 

[Timmy]

"Unfettered capitalism results in disaster".


This is true . Take a look at history , early 1900's , robber Barron's, oligopolies , etc..

Competition dies out, there's no middle class, politicians get bought , our environment is destroyed , worker safety goes to shit .

We have seen this .

 

[g5000]

-Deregulation was responsible for the melt down

This is also a truth which continues to be denied by bumper sticker intellects.

The failure to regulate derivatives made the crash many times worse than it would have been.


I refer you to section 117 of the CFMA. To wit:

This Act shall supersede and preempt the application of any State or local law that prohibits or regulates gaming or the operation of bucket shops

Someone should explain why banks needed exemptions from state gaming laws for casinos. Why does a bank need to be exempted from state laws prohibiting bucket shops?

Hmmmm...

Those in the know understand exactly why. The banks wanted fraud legalized. And later on, their apologists would ask stupid questions like, "What laws did they break when they ripped off their clients?"

Federal pre-emption of state regulatory laws is deregulation, by definition. And how come no states rights people screamed over this? Why didn't Fox News play some doom music and shout from the rooftops over this federal pre-emption of the states? Huh?

Hmmm...

Because it was pushed through by Phil Gramm, who also worked hard to make sure financial derivatives of mass destruction remained unregulated when others were calling for them to be regulated.

Credit default swaps (CDS), for example. They did not require an insurable interest. And to this day they do not.

That's nuts.

The failure to regulate CDS is the single largest factor in the meltdown of AIG, Lehman Brothers, and Bear Stearns.

 

[Arianrhod]

Reagan began exporting manufacturing jobs overseas.

Reagan was a CEO? Of what corporation?

Silly myths RWs believe.

 

[NYcarbineer]

the Rabbi has fled the interview.

 

[initforme]

Reagan started the times of sticking it to the average worker. Those same idiots praise companies that pay $10 hour and claim one can survive fine on it. They are LIARS of the scum kind.

 

[The Rabbi]

The SEC Rule I posted above gives some insight into Bush's true motive for trying to force the GSEs to shrink their portfolios. He was doing Wall Street's bidding so they could get more market share of the booming derivatives bubble built on mortgages.

The SEC ruling was in 2004. By the end of 2005, the GSE's uS market share had shrunk to less than 30 percent, down from 50 percent.

Because the GSEs were under fire for their poor accountng practices and implied government guarantee. The WSJ was running editorials weekly highlighting the toxic nature of Fred/Fan. You understand reducing their market share was a good thing, right? Because when they did default the taxpayers did in fact step in and pick up the tab.

 

[The Rabbi]

I have never heard a liberal claim the economy was great under Carter.

So I guess we're in the "feel free to make up shit" zone, eh?

But first, some facts: Bush was responsible for the meltdown. Along with Clinton; Gordon Brown; the Republicans; the Democrats; Wall Street; the City of London; the governments of Ireland, Iceland, Germany, Spain, the United Kingdom and Scotland, and Italy; the ratings agencies; city treasurers all around the globe; Alan Greenspan; every pension fund manager; the SEC; the OCC; and a cast of tens of millions of borrowers and investors all over the world.

But you dipshits like to pretend Bush was just a seat warmer for eight years.

Please detail specifically what Bush did that caused the meltdown. SOmehow when called on this simple question dipshits like you default to bumper sticker phrases.

I like how you are parroting my own language. Very flattering. God knows how many times I have said you rubes have the intellectual capacity of a bumper sticker.

Now pay attention. This is only about the fiftieth time I have posted this information on this board:

Here is some deregulation that is entirely on the Republicans: Final Rule Alternative Net Capital Requirements for Broker-Dealers That Are Part of Consolidated Supervised Entities Rel. No. 34-49830 June 8 2004

The Commission is amending Rule 15c3-12 (the “net capital rule”) under the Securities Exchange Act of 1934 (the “Exchange Act”) to establish a voluntary, alternative method of computing net capital for certain broker-dealers.

Bush's SEC voted unanimously in 2004 to waive the net capital rule for the 5 biggest broker-dealers. That waiver led directly to the demise of those broker-dealers.

All five of the broker-dealers who were given that extra special treatment by the SEC no longer exist as independent companies or converted into bank holding companies so they could be bailed out.

Bear Stearns was the first to go under. Then Lehman Brothers went under. Then Merrill Lynch went under.

Goldman Sachs and Morgan Stanley converted to bank holding companies so they could receive bailout money.

Correlation is not causality.

Another bumper sticker phrase!

That ruling has been shown to be a root cause, dittohead.

"Has been shown". Yeah yo posted it elsewhere on this forum.
LOL>

 

[The Rabbi]

Agency’s ’04 Rule Let Banks Pile Up New Debt

They wanted an exemption for their brokerage units from an old regulation that limited the amount of debt they could take on. The exemption would unshackle billions of dollars held in reserve as a cushion against losses on their investments. Those funds could then flow up to the parent company, enabling it to invest in the fast-growing but opaque world of mortgage-backed securities; credit derivatives, a form of insurance for bond holders; and other exotic instruments.

The five investment banks led the charge, including Goldman Sachs, which was headed by Henry M. Paulson Jr. Two years later, he left to become Treasury secretary.

A lone dissenter — a software consultant and expert on risk management — weighed in from Indiana with a two-page letter to warn the commission that the move was a grave mistake. He never heard back from Washington.

Over the following months and years, each of the firms would take advantage of the looser rules. At Bear Stearns, the leverage ratio — a measurement of how much the firm was borrowing compared to its total assets — rose sharply, to 33 to 1. In other words, for every dollar in equity, it had $33 of debt. The ratios at the other firms also rose significantly.

The 2004 decision for the first time gave the S.E.C. a window on the banks’ increasingly risky investments in mortgage-related securities.

Still not showing the Bush tanked the economy. You'll have to do better than that.

 

[The Rabbi]

-Wall Street hedge funds managers don't produce anything

These days, they don't produce much. Read their filings. Very little of their investments are venture capitalism any more.

Congrats. You are winning kudos from liberals all over. Keep it up.

I am telling the truth. It can't be helped you are parroting some bullshit that is outdated.

Seriously. Read their filings. If you know how. Less than ten percent is venture capitalism.

Seriously you are one very stupid individual.

You're coming across like a 5 year old douche you know that right?

You certainly know all there is to know about 5yr old douches.

 

[The Rabbi]

RealClearMarkets - The SEC Killed Wall Street On April 28, 2004

Wow an opinion piece by a nobody. Thats strong evidence coming from you.
Bush was head of the SEC? Who knew?

 

[The Rabbi]

Reagan began exporting manufacturing jobs overseas.

Reagan was a CEO? Of what corporation?

Silly myths RWs believe.

Do you not believe Reagan was responsible for off shoring jobs?

 

[The Rabbi]

Reagan started the times of sticking it to the average worker. Those same idiots praise companies that pay $10 hour and claim one can survive fine on it. They are LIARS of the scum kind.

Thank you. An honest liberal. If that isnt an oxymoron.

 

[Billy000]

These days, they don't produce much. Read their filings. Very little of their investments are venture capitalism any more.

Congrats. You are winning kudos from liberals all over. Keep it up.

I am telling the truth. It can't be helped you are parroting some bullshit that is outdated.

Seriously. Read their filings. If you know how. Less than ten percent is venture capitalism.

Seriously you are one very stupid individual.

You're coming across like a 5 year old douche you know that right?

You certainly know all there is to know about 5yr old douches.

Hmm. Are you sure that isn't some kind of fantasy of yours?

 

[Arianrhod]

Reagan began exporting manufacturing jobs overseas.

Reagan was a CEO? Of what corporation?

Silly myths RWs believe.

Do you not believe Reagan was responsible for off shoring jobs?

Funds are offshored.

Jobs are outsourced.

Ask your question so that it makes sense.

 

[initforme]

OK here is a question. We are told to believe that if we eliminate all corporate taxes a lot of jobs will return from overseas. Will they be willing to psy a decent wage $15+ if they can continue to get the work done for basically no pay?

 

[g5000]

Agency’s ’04 Rule Let Banks Pile Up New Debt

They wanted an exemption for their brokerage units from an old regulation that limited the amount of debt they could take on. The exemption would unshackle billions of dollars held in reserve as a cushion against losses on their investments. Those funds could then flow up to the parent company, enabling it to invest in the fast-growing but opaque world of mortgage-backed securities; credit derivatives, a form of insurance for bond holders; and other exotic instruments.

The five investment banks led the charge, including Goldman Sachs, which was headed by Henry M. Paulson Jr. Two years later, he left to become Treasury secretary.

A lone dissenter — a software consultant and expert on risk management — weighed in from Indiana with a two-page letter to warn the commission that the move was a grave mistake. He never heard back from Washington.

Over the following months and years, each of the firms would take advantage of the looser rules. At Bear Stearns, the leverage ratio — a measurement of how much the firm was borrowing compared to its total assets — rose sharply, to 33 to 1. In other words, for every dollar in equity, it had $33 of debt. The ratios at the other firms also rose significantly.

The 2004 decision for the first time gave the S.E.C. a window on the banks’ increasingly risky investments in mortgage-related securities.

Still not showing the Bush tanked the economy. You'll have to do better than that.

Still uttering bumper sticker phrases, I see.

Rabbi has now entered the willfully blind monkey denial phase of right wing debate.

 

[The Rabbi]

Agency’s ’04 Rule Let Banks Pile Up New Debt

They wanted an exemption for their brokerage units from an old regulation that limited the amount of debt they could take on. The exemption would unshackle billions of dollars held in reserve as a cushion against losses on their investments. Those funds could then flow up to the parent company, enabling it to invest in the fast-growing but opaque world of mortgage-backed securities; credit derivatives, a form of insurance for bond holders; and other exotic instruments.

The five investment banks led the charge, including Goldman Sachs, which was headed by Henry M. Paulson Jr. Two years later, he left to become Treasury secretary.

A lone dissenter — a software consultant and expert on risk management — weighed in from Indiana with a two-page letter to warn the commission that the move was a grave mistake. He never heard back from Washington.

Over the following months and years, each of the firms would take advantage of the looser rules. At Bear Stearns, the leverage ratio — a measurement of how much the firm was borrowing compared to its total assets — rose sharply, to 33 to 1. In other words, for every dollar in equity, it had $33 of debt. The ratios at the other firms also rose significantly.

The 2004 decision for the first time gave the S.E.C. a window on the banks’ increasingly risky investments in mortgage-related securities.

Still not showing the Bush tanked the economy. You'll have to do better than that.

Still uttering bumper sticker phrases, I see.

Rabbi has now entered the willfully blind monkey denial phase of right wing debate.

Mere assertion. The last refuge of scoundrels.