Repeal of Glass-Steagall was indeed a mistake. But it’s not what caused the financial crisis

[upaloopa]

Paul Krugman

http://www.nytimes.com/2015/10/16/opinion/democrats-republicans-and-wall-street-tycoons.html?_r=0

Democrats, Republicans and Wall Street Tycoons

Paul Krugman


Hillary Clinton and Bernie Sanders had an argument about financial regulation during Tuesday’s debate — but it wasn’t about whether to crack down on banks. Instead, it was about whose plan was tougher. The contrast with Republicans like Jeb Bush or Marco Rubio, who have pledged to reverse even the moderate financial reforms enacted in 2010, couldn’t be stronger.


For what it’s worth, Mrs. Clinton had the better case. Mr. Sanders has been focused on restoring Glass-Steagall, the rule that separated deposit-taking banks from riskier wheeling and dealing. And repealing Glass-Steagall was indeed a mistake. But it’s not what caused the financial crisis, which arose instead from “shadow banks” like Lehman Brothers, which don’t take deposits but can nonetheless wreak havoc when they fail. Mrs. Clinton has laid out a plan to rein in shadow banks; so far, Mr. Sanders hasn’t.

[frazzled]

1. What does he know

He only has a Nobel Prize in economics.

[RobertEarl]

7. He's always right and never lies!!

Too bad Hillary hasn't done a damn thing about the crash, she probably could have gained another point in the early polls and given yall some hope.

As it is, she is taking money from the crooks who crashed the economy and with her in charge, they can steal what's left!

Bernie won't let them.

[tishaLA]

2. I'm going to have to check out his writings about Glass-Steagall more than I have

I don't doubt his veracity, but I need to know more about his position.

[wyldwolf]

3. He and Elizabeth Warren agree - now back under the bus with you both!

[AgingAmerican]

4. The Depository Institutions Deregulation and Monetary Control Act of 1980 destroyed Glass Steagall

And they were taking depositors money and gambling with it. In 07 they were calling it 'casino capitalism'.

The crisis was intensified by the fact the Bush administration stopped enforcing banking rules.

Problem with Hillary is she's in the bankers back pockets.

[upaloopa]

5. Anything to back up that last statement

Post an expert like Krugman saying that or admit you are making up shit again

[AgingAmerican]

6. Follow the money

Please quote Krugman on what he thinks about Hillary taking money from the same bankers that caused the crisis. What does he say about this little discrepancy, or does he conveniently ignore it?

[upaloopa]

8. As I thought, nothing!

You vs Krugman I'll take Krugman

[AgingAmerican]

9. I eagerly await your Krugman quote on this subject!

None forthcoming though, because it doesn't exist.

[upaloopa]

11. I posted the link

Read it or don't not my problem

[AgingAmerican]

13. What thread did you post it in?

Why not just put it here?

[upaloopa]

14. I posted the link to what Krugman says about

Hillary's plan
I am not going to defend against a bull shit talking point it isn't worth my time

[AgingAmerican]

15. What does Krugman say about Hillary taking money from those who collapsed the economy?

She is taking money from the same folks that collapsed the economy in 2007.

What does Krugman say about that and how it would affect her ability to regulate the banksters? What is his opinion on that matter, or does he just want it rug swept?

[upaloopa]

18. Do you read or just keep posting the same lie over and over?

[Cali_Democrat]

10. Yep.

I'll take Krugman over the DU Keyboard Warriors any day of the week.

[AgingAmerican]

12. Perhaps you can muster the magical Krugman quote then

Your cohort seems flummoxed by my request!

The quote where Krugman Opines on the efficacy of Hillary taking money from the bankers that caused the collapse of 2007, and how that just might affect her willingness to sufficiently regulate them!

I eagerly await the quote!!

[stuffmatters]

16. Why is this an artificial either or? Do both

Why is the FDIC (and our bank accounts) the backup money for over 200 trillion in outstanding derivatives? The firewall between depositers and speculation should be reinstated and people protected from all forms of casino capitalism... reinstating Glass Steagall and protecting/defending taxpayers from shadow banking are both needed.

I don't remember Krugman/Stiglitz/Warren/Reich ever objecting to reinstating Glass Steagall or protecting us against the expanded shadow banking vampire either. To many Clinton seems to have offered her shadow banking plan to avoid taking a stand and supporting reinstating Glass Steagall. I doubt Bernie is against including the reining in of shadow banks in addition to reinstating GS. Bernie has never indicated any support or taken political contributions from "shadow banking." Instead it's an amicable extension to Bernie's financial platform.

[upaloopa]

17. Nice try

The post is in reply to the one saying Hillary is in trouble for not backing reinstating Glass Steagall after it being inferred that it's repeal caused the crisis in 2007.
So you come along and start a new narrative after I post Krugman blowing the other OP out of the water.

[BlueCheese]

19. Glass-Steagall has become a red herring.

It's nowhere near as important as people are making it out to be.