Another Inside Job (Paul Krugman)

[chill_wind]

Another Inside Job
By PAUL KRUGMAN
Published: March 13, 2011


Count me among those who were glad to see the documentary “Inside Job” win an Oscar. The film reminded us that the financial crisis of 2008, whose aftereffects are still blighting the lives of millions of Americans, didn’t just happen — it was made possible by bad behavior on the part of bankers, regulators and, yes, economists.

What the film didn’t point out, however, is that the crisis has spawned a whole new set of abuses, many of them illegal as well as immoral. And leading political figures are, at long last, showing some outrage. Unfortunately, this outrage is directed, not at banking abuses, but at those trying to hold banks accountable for these abuses.

The immediate flashpoint is a proposed settlement between state attorneys general and the mortgage servicing industry. That settlement is a “shakedown,” says Senator Richard Shelby of Alabama. The money banks would be required to allot to mortgage modification would be “extorted,” declares The Wall Street Journal. And the bankers themselves warn that any action against them would place economic recovery at risk.

All of which goes to confirm that the rich are different from you and me: when they break the law, it’s the prosecutors who find themselves on trial.

To get an idea of what we’re talking about here, look at the complaint filed by Nevada’s attorney general against Bank of America. (...)

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http://www.nytimes.com/2011/03/14/opinion/14krugman.html?_r=1

[somone]

1. Excellent read

[xchrom]

2. recommend

[n2doc]

3. Good, but I wish he would point out Shelby has a huge conflict of interest here

He OWNS a title insurance Company. In any kind of non-corrupt government he would not be able to vote on this.

http://www.opensecrets.org/news/2009/11/sen-richard-shelby-a-formidabl.html

[marmar]

4. K&R......

:kick:

[nebenaube]

5. It's way past time to nationalize wall street banks. n/t

[howaboutme]

6. and the eliminate the Federal Reserve

Do both and we have a chance of restoring a government, to, for and of the people.

The banksters are the root of our problems and it comes down to a small group having way too much money and that allows them to control our government. They have demonstrated a lack of social mores, and an excess of greed. The Federal Reserve through Greenspan and Bernanke have also demonstrated that they are the problem not the solution.