Send a Tweet
Most Popular Choices
Share on Facebook 18 Share on Twitter 1 Printer Friendly Page More Sharing
Exclusive to OpEd News:
OpEdNews Op Eds    H3'ed 4/1/10

Bill Moyers talks with Gretchen Morgenson about the financial crisis and its likely return

By       (Page 1 of 8 pages)   4 comments
Follow Me on Twitter     Message Richard Clark
Become a Fan
  (108 fans)

In the synopsis of this PBS interview that follows, Morgenson, who first began writing about Wall Street's excessive risk taking well before the last crisis, doesn't believe the major bills currently before Congress do enough to regulate Wall Street. As she tells Bill Moyers, "I think that the bills that we have seen thus far are half-baked and really don't address some of the crucial elements of reform that are needed if we want to prevent this kind of crisis from happening again."

One of the main issues for her is allowing banks to grow "too big to fail" -- a size so big that they present a risk to the entire economy. To reduce the size of banks, Morgenson says, "You have to increase capital requirements. You have to increase the cost of doing business for these entities if they grow too big. Then put the money they pay into an FDIC-type insurance fund."

However, getting meaningful reform is often easier said than done in Washington, where lobbyists far outnumber legislators, and many legislators rely on wealthy industries, especially the financial industry, to fund their campaigns.

Last November, the Center for Responsive Politics (CRP) published a seven-part series on the power of the financial services lobby, "Crossing Wall Street." Since 1989, they report, the finance, insurance and real estate sector has been the largest single contributing sector to Congressional campaigns -- contributing $2.3 billion in that period. As the report notes, "Despite a moribund economy, the financial industries that have enjoyed relatively little regulation over the years continue pouring big money into making sure the government's control over them remains limited." Since the beginning of 2009, the finance, insurance and real estate sector has spent more than $500 million on lobbying and campaign contributions.

Two years ago this month the financial giant Bear Sterns collapsed and Wall Street began to unravel, wiping out millions of jobs, driving millions of people from their homes, and plundering once healthy pension plans. And all this time later there is still no reform from Congress, to prevent the reoccurrence of such a tragedy. A crippled little bill seems to be hobbling out of the wreckage but still faces an array of well-armed forces gunning for it.

And that's no surprise. In the two recent election cycles, members of the Senate Banking Committee received more than $39 million from Wall Street and the banks, while members of the House Financial Services Committee raked in more than $21 million. So just how serious do you think these members of Congress are going to be about true reform?

Next Page  1  |  2  |  3  |  4  |  5  |  6  |  7  |  8

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

Must Read 2   Supported 1   Valuable 1  
Rate It | View Ratings

Richard Clark 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

Several years after receiving my M.A. in social science (interdisciplinary studies) I was an instructor at S.F. State University for a year, but then went back to designing automated machinery, and then tech writing, in Silicon Valley. I've (more...)

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.
Follow Me on Twitter     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     OpEd News Newsletter
   (Opens new browser window)

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

Was Pat Tillman Murdered by an American Sharpshooter to Shut Him up?

New JFK assassination bombshells

Two U.S. presidents implicated by ex-CIA black-ops assassin

The cholesterol - heart disease scam: How the medical-industrial complex is raking in billions at our expense

Four Ticking Time Bombs That Will Soon Ignite a Revolution

The Ultimate Goal of the Bankster-led Political-economic Warfare Being Waged Against Us Is . . . ?

To View Comments or Join the Conversation:

Tell A Friend