Is anyone else uncomfortable with the Fed assuming so much control over the

  • Thread starter Thread starter Nikki
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Nikki

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financial system? http://news.yahoo.com/s/ap/20090326/ap_on_go_ca_st_pe/financial_regulation;_ylc=X3oDMTI1NzZyc3Q3BFJfYWlkAwRSX2RtbgN5YWhvby5jb20EUl9maWQDYmRhMGMzMzU0NTFiYmY2YjY0Y2Q0MWRlYjBiYWRlNDYEUl9sdHADMQ--

especially since most Congressmen were in office when the meltdown happened & contributed to the problem.
 
The problem that led to the financial meltdown was not too much regulation of the financial system but just the opposite. Congress had not set in place enough oversight of the derivatives markets and had failed to give the Treasury Department and the Fed enough power to require non-bank financial institutions to carry enough cash on their ledgers to assure that they wouldn't go belly up if financial times got difficult. That failure was a bi-partisan failure because although the Republican Party led the way on deregulation of the markets Congressional Democrats and President Clinton and President Bush all signed on for the ride.
 
Considering that the lack of oversight got us into the economic mess we're in now, I would wager that MORE oversight is needed.

So far, from what I've read, I have little issue with the areas where Geithner wants to implement more oversight.

We cannot allow major corporations to blackmail the govt. into giving them bailout funds or allowing the economy to sink as a result of their bankruptcy.

Sorry, but that sh!t don't fly any longer.
 
Do you mean the Federal Government or the Fed (aka the Federal Reserve)?

I personally hate how invasive both have become.
 
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