Send a Tweet
Most Popular Choices
Poll Analyses
Share on Facebook 6 Share on Twitter 2 Printer Friendly Page More Sharing
OpEdNews Op Eds    H1'ed 2/22/13

Wall Street's Misdeeds Cost Trillions, But It's Main Street Who's Getting Nickel-and-Dimed

By       (Page 2 of 3 pages) Become a premium member to see this article and all articles as one long page. (View How Many People Read This)   2 comments
Author 77715
Message Richard Eskow
Become a Fan
  (15 fans)

That means the report's filled with "he said/she said" counterpoint on even relatively non-controversial matters. But behind the "some experts believe" language is an inescapable conclusion: The 2008 crisis cost the U.S. economy in excess of $10 trillion, and possibly more than $13 trillion.

What's more, there's very little controversy about the fact that it will happen again. Even Jamie Dimon, the JPMorgan Chase CEO who has appointed himself to be the unapologetic face of Wall Street excess, agrees. He proudly told  a Congressional hearing that when his little daughter asked him "What's the financial crisis?" he answered "It's something that happens every five or seven years."

Recurring crises are part of their business model. And while every crisis won't all cost $10 trillion or $13 trillion, one will eventually come along that costs much more.

Hired Guns

Banks are deploying every possible argument to prevent that from happening. The latest is to ensure that bank-subservient Republicans block funding for any agency that's been tasked with monitoring bank activity.

Before we get to the Republicans, though, did you happen to see this story? "Former U.S. Sen. Kent Conrad has signed on with the national Campaign to Fix the Debt," it says.

"Fix the Debt" is a covert lobbying group for big banks, defense contractors, and individual billionaires. When it comes to corporate buyouts, members of both parties are available. Democrat Conrad spent years telegraphing his support for the corporate agenda.

As we like to say, "bipartisan" is a Washington code word for "buying members of both parties."

But, while some Democrats may be morally compromised, it now appears that the Republican Party has become a wholly-owned subsidiary of Wall Street. They're blocking the funds to implement the Dodd/Frank bill. That bill's reforms fall short of what's truly needed to end Wall Street's destructive rampage, but it's a step in the right direction -- which means that, for the GOP and its parent companies, it's a step too far.

Mad-Hatter Economics

You have to be pretty shameless to say something like this: "The Committee will seek to ensure that regulators carefully and transparently assess the costs and benefits of regulations called for by the Dodd-Frank Act in order to strike an appropriate balance between prudent regulation and economic growth."

That was Republican Representative Jeb Hensarling, echoing the right-wing line: Can't spend millions to protect us from losses in the trillions. Meanwhile the SEC is begging  for funds, as are the other agencies charged with implementing Dodd/Frank.

But the ultimate in tortured pro-bank logic is a bill called the "Financial Regulatory Responsibility Act," which has been floating around the Hill since its introduction in 2011. It would require regulators to prepare lengthy analyses of the cost of enacting new regulations, and then to submit their economists to a politicized interrogation before Congress.

This bill's just another tactic for delaying and obstructing urgently-needed reform, and the arguments wear thin before the sentences are even completed. "American job creators are under siege from the Dodd-Frank Act," said cosponsoring Senator Richard Shelby. "In their rush to expand the reach of government into our private markets, Congressional Democrats refused to consider the impact of the Dodd-Frank Act on economic growth or job creation."

With 20 million jobs lost worldwide after the 2007/2008 crisis, this is hardly a strong argument for the defense. If these guys are such great "job creators," where are the jobs?

Pay Now and Pay Later

Next Page  1  |  2  |  3

(Note: You can view every article as one long page if you sign up as an Advocate Member, or higher).


Rate It | View Ratings

Richard Eskow Social Media Pages: Facebook page url on login Profile not filled in       Twitter page url on login Profile not filled in       Linkedin page url on login Profile not filled in       Instagram page url on login Profile not filled in

Host of 'The Breakdown,' Writer, and Senior Fellow, Campaign for America's Future

Go To Commenting
The views expressed herein are the sole responsibility of the author and do not necessarily reflect those of this website or its editors.
Writers Guidelines
Contact AuthorContact Author Contact EditorContact Editor Author PageView Authors' Articles
Support OpEdNews

OpEdNews depends upon can't survive without your help.

If you value this article and the work of OpEdNews, please either Donate or Purchase a premium membership.

If you've enjoyed this, sign up for our daily or weekly newsletter to get lots of great progressive content.
Daily Weekly     OpEdNews Newsletter
   (Opens new browser window)

Most Popular Articles by this Author:     (View All Most Popular Articles by this Author)

How to Fix the Fed: Dismiss Dimon, Boot the Bankers, and Can the Corporations

The Top 12 Political Fallacies of 2012

Pawn: The Real George Zimmerman Story

What America Would Look Like If Libertarians Got Their Way

"His Own Man's" Man: Jeb Bush and the Return of Wolfowitz

"F" The Bureaucracy! The White House Can Help Homeowners Right Now

To View Comments or Join the Conversation: