The 2008 crash isn’t over, only covered up

[rfranklin]

March 8, 2011, 12:01 a.m. EST

The 2008 crash isn’t over, only covered up
Commentary: Reaganomics driving us into Phase 2 of meltdown
By Paul B. Farrell, MarketWatch
SAN LUIS OBISPO, Calif. (MarketWatch) — We have hard evidence Washington and Wall Street knew the 2008 crash was coming years in advance. Yes, they could have prevented it. But didn’t. And, yes, the cover-up cost Americans trillions.

Was their Reaganomics ideology so rigid, so blinding, they couldn’t (and still cannot) admit they were wrong? Forcing them to lie to America? Cover up the lies? The evidence is clear.


Advisers bullish on large-cap stocksIndependent investment advisers are putting more money into large-cap U.S. stocks and turning away from bonds, says Bernie Clark, head of Schwab Advisor Services. Jonathan Burton reports.
Today, a harsh lesson from history, facts and a warning. Listen closely America. It’s already happening again. The collective Reaganomics Brain has gone from crash to cover-up to comeback kid to capitalism-for-the-super-rich in three short years. Now with absolute power over America.

But the worst is yet to come. The forces behind the 2008 crash are stronger today. Like the villain in a horror-flick sequel, the dark side is now hungrier. Phase 2 is already in full swing as the Reaganomics Brain aggressively races to complete unfinished business — the 2008 meltdown — which will implode Wall Street banks and the Fed, ending the reign of the dollar as the world’s reserve currency

- more -

http://www.marketwatch.com/story/story/print?guid=6ADC6184-48FD-11E0-AB73-00212804637C

[cbdo2007]

1. Cool, I haven't read about a collapse of our entire economic system yet today....

thanks for this post to keep me on my toes.

[Scurrilous]

4. LOL

:thumbsup:

[leftstreet]

2. Good. Let it all crash

Smash the capitalism to smithereens and let us start over

[Solomon]

6. I don't think we really want that to happen.

Just sayin'. Sounds romantic but...

[Motown_Johnny]

3. Of course they still lie about Reaganomics!!!!!

What kind of a question is that anyways?


It should be clear to everyone who is paying attention that Trickle Down Economics has become American Decline Economics. The (R)s can't admit to that because Reagan is all they have. W. was one of the worst Presidents in history and his father was a one termer. Nixon had to resign in disgrace and Ford pardoned him before losing reelection. Eisenhower's policies more closely resemble what Democrats would now support than what Republicans would and if you try to go back any further for an (R) president who was not an embarrassment you end up looking at Hoover.

They can't admit Reagan screwed this country over because it would be admitting to causing all the economic problems of the last 30 years, and that is political suicide.

[gimama]

5. Wow, YOU...!

Way to sum it all up!
:applause:

[Adsos Letter]

7. Even during Clinton's administration one woman knew, and got smacked down by Greenspan and Congress

"...Brooksley Born, the head of an obscure federal regulatory agency -- the Commodity Futures Trading Commission -- who not only warned of the potential for economic meltdown in the late 1990s, but also tried to convince the country's key economic powerbrokers to take actions that could have helped avert the crisis. 'They were totally opposed to it," Born says. "That puzzled me. What was it that was in this market that had to be hidden?'"

This is absolutely worth an hour of your time, if you've not yet seen it:

Link to video portion: http://www.pbs.org/wgbh/pages/frontline/warning/view/?utm_campaign=viewpage&utm_medium=grid&utm_source=grid


From 2009 interview transcript:

~snip~
"... What's the message that you're trying to spread now in the ashes of what happened in 2008 and '09?"

"I think we have to close the regulatory gap. ... We cannot afford as a society to go forward with an enormous unregulated market that poses this kind of danger because it’ll happen again if we don't take the appropriate steps. ... We need to take a lesson from the existing futures markets where exchange trading has been safe. As much as possible of the over-the-counter derivatives market should be traded on a regulated derivatives exchange. The transaction should be cleared on a regulated clearinghouse. There should be robust federal regulation of any remaining OTC derivatives market. And personally, I think that remaining market should be limited as much as possible to no more than the customized contracts that are needed for specific businesses to hedge particular business risks. ..."

"If this moment passes again, the consequences are what from your perspective?"

"I think we will have continuing danger from these markets and that we will have repeats of the financial crisis. It may differ in details, but there will be significant financial downturns and disasters attributed to this regulatory gap over and over until we learn from experience."

And the lesson you learned from your government experience?

"It's an interesting question. I think the lesson is that a public servant has to do what she believes is right and carry her responsibility even if there are very adverse consequences in terms of criticism and other difficulties. That's one's job."

"My parents were both public servants, and I think I learned from them. My father was the director of public welfare in San Francisco for 35 years, and my mother was a high school English teacher. They felt that public service was the highest calling, that this was the way to give back to the society for all we enjoy every day. And one of the things you have to do is put aside self-interest, put aside ambition and do what's right for the people. And that's what I tried to do. ..."
~snip~

Link to transcript section: http://www.pbs.org/wgbh/pages/frontline/warning/interviews/born.html

[Octafish]

8. ''They were totally opposed to (regulation).''

(In Bullwinkle J. Moose voice) "Gee. I wonder why?"

Know your BFEE: Phil Gramm, the Meyer Lansky of the War Party, Set-Up the Biggest Bank Heist Ever.

[Adsos Letter]

9. (In her own voice) "I think the lesson is...

that a public servant has to do what she believes is right and carry her responsibility even if there are very adverse consequences in terms of criticism and other difficulties. That's one's job."

[donheld]

10. Yes, it's only covered up. My fear

the more it's covered the worse it gets.