milkchaser

Six Steps to Hell: Our Descent into Today's Daunting Economic Inferno

Not sure how Glass-Steagall repeal factored in. Still skeptical on that one.

Hindsight is 20-20. Where were the warnings before these problems became obvious?

CDS: The Sabotaging Asset

I seem to recall Greenspan asking for more regulation. And I don't think he was empowered to enact legislation, nor to force Congress to pass it. That's not to hold him blameless, just blameless for the lack of appropriate regulation.


On Mar 08 09:46 AM ebschor wrote:

> The bucket shops that were eliminated in the 1920s were one of the
> causes of the Great Depression. Greenspan, in his infinite wisdom,
> decided that government regulation was bad and that banks and other
> financial institutions could regulate themselves.
>
> CDS dealers were the bucketeers of this depression. Forget the fact
> that CDS instruments were illegal based on regulations from almost
> a century ago. I guess we really don't learn from our past.
>
> 60 minutes did a great piece on CDS. I believe it was at the end
> of last year. If you have a chance to find it on the Web it is definitely
> worth watching.
>
> Good article!

FDIC Won't Run Out of Money, But WaMu May Be Toast

I very much enjoyed the article and the counter-argument by Michael Hanson. Mr. Whalen, do you care to respond to the effects of RTC II on your analysis?