Within the first 100 days of my administration, I will require the Secretary of the Treasury Department to establish a "too-big-to-fail" list of commercial banks, shadow banks and insurance companies whose failure would pose a catastrophic risk to the United States economy without a taxpayer bailout.
Within one year, my administration will break these institutions up so that they no longer pose a grave threat to the economy. And together we will reinstate a 21st Century Glass-Steagall Act to clearly separate commercial banking, investment banking and insurance services. Let's be clear: this legislation, introduced by my colleague Senator Elizabeth Warren, her legislation aims at the heart of the shadow banking system. In my view, Senator Warren, is right. Dodd-Frank should have broken up Citigroup and other "too-big-to-fail" banks into pieces. And that is exactly what we need to do. And that is what I commit to do as president of the United States.
Now, my opponent, Secretary Clinton says that Glass-Steagall would not have prevented the financial crisis because shadow banks like AIG and Lehman Brothers, not big commercial banks, were the real culprits.
Secretary Clinton is wrong.
Shadow banks did gamble recklessly, but where did that money come from? It came from the federally-insured bank deposits of big commercial banks -- something that would have been banned under the Glass-Steagall Act.
Let us not forget: President Franklin Roosevelt signed this bill into law precisely to prevent Wall Street speculators from causing another Great Depression. And, it worked for more than five decades until Wall Street watered it down under President Reagan and killed it under President Clinton.
And, let's not kid ourselves. The Federal Reserve and the Treasury Department didn't just bail out shadow banks. As a result of an amendment that I offered to audit the emergency lending activities of the Federal Reserve during the financial crisis, we learned that the Fed provided more than $16 trillion in short-term, low-interest loans to every major financial institution in this country including Citigroup, JPMorgan Chase, Bank of America, Wells Fargo, not to mention large corporations, foreign banks, and foreign central banks throughout the world.
Secretary Clinton says we just need to impose a few more fees and regulations on the financial industry. I disagree.
As former Secretary of Labor Robert Reich has said and I quote: "Giant Wall Street banks continue to threaten the well being of millions of Americans, but what to do? Bernie Sanders says break them up and resurrect the Glass-Steagall Act that once separated investment from commercial banking. Hillary Clinton says charge them a bit more and oversee them more carefully " Hillary Clinton's proposals would only invite more dilution and finagle. The only way to contain the Street's excess is with reforms so big, bold, and public they can't be watered down -- busting up the biggest banks and resurrecting Glass-Steagall."
Secretary Reich is right. Real Wall Street reform means breaking up big banks and re-establishing firewalls that separates risk taking from traditional banking.
My opponent says that, as a senator, she told bankers to "cut it out" and end their destructive behavior. But, in my view, establishment politicians are the ones who need to "cut it out." The reality is that Congress does not regulate Wall Street"(crowd interrupts and chants "Wall Street regulates Congress".)
You got it! And you know what, as President we're gonna end that reality.
It is no secret that millions of Americans have become disillusioned and alienated from our political process. They don't vote. They don't believe much of what comes out of Washington. They don't think that there is anyone there representing their interests. In my view, one of the reasons for the deep disillusionment that is so widespread is the understanding that our criminal justice system is broken and grossly unfair. It is broken, unfair and we do not have equal justice under the law. The average American sees kids being arrested and sometimes even jailed for possessing marijuana or other minor crimes. But when it comes to Wall Street executives, some of the wealthiest and most powerful people in this country, whose illegal behavior caused pain and suffering for millions of Americans -- somehow nothing happens to them.
Their illegal behavior destroys our economy, millions lose their jobs, their homes, their life savings, but for the CEOs of Wall Street, no police record, no jail time, no justice.
Next Page 1 | 2 | 3 | 4 | 5 | 6
(Note: You can view every article as one long page if you sign up as an Advocate Member, or higher).
8
6
3
