If you haven’t yet seen “The Big Short” – directed and co-written by Adam McKay, based on the non-fiction prize-winning book by Michael Lewis about the housing and credit bubble that triggered the Great Recession — I recommend you do so. Not only is the movie an enjoyable (if that’s the right word) way to understand … Continue reading »
Wall Street
Hillary, Bernie and the banks
Giant Wall Street banks continue to threaten the wellbeing of millions of Americans, but what to do? Bernie Sanders says break them up and resurrect the Glass-Steagall Act that once separated investment from commercial banking. Hillary Clinton says charge them a bit more and oversee them more carefully. Most Republicans say don’t worry. Clearly, there’s … Continue reading »
The six principles of the new populism (and the establishment’s nightmare)
More Americans than ever believe the economy is rigged in favor of Wall Street and big business and their enablers in Washington. We’re five years into a so-called recovery that’s been a bonanza for the rich but a bust for the middle class. “The game is rigged and the American people know that. They get … Continue reading »
The two centers of unaccountable power in America, and their consequences
There are two great centers of unaccountable power in the American political-economic system today — places where decisions that significantly affect large numbers of Americans are made in secret, and are unchecked either by effective democratic oversight or by market competition. One goes by the name of the “intelligence community” and its epicenter is the … Continue reading »
The man who invented ‘too big to fail’ banks finally recants. Will Obama or Romney follow?
I’m in Alaska, amid moose and bear, trying to steal some time away from the absurdities of American politics and economics. But even at this remote distance I caught wind of Sanford Weill’s proposal this morning (July 25) on CNBC that big banks be broken up in order to shield taxpayers from the consequences of … Continue reading »
The most important economic speech of his presidency
The President’s speech today in Osawatomie, Kansas — where Teddy Roosevelt gave his “New Nationalism” speech in 1910 — is the most important economic speech of his presidency in terms of connecting the dots, laying out the reasons behind our economic and political crises, and asserting a willingness to take on the powerful and the privileged … Continue reading »
Wall Street is still out of control; break up the banks
Next week President Obama travels to Wall Street where he’ll demand – in light of the Street’s continuing antics since the bailout, as well as its role in watering-down the Volcker rule – that the Glass-Steagall Act be resurrected and big banks be broken up. I’m kidding. But it would be a smart move — … Continue reading »
Public protest, media, and economic justice
On September 17, a group of US citizens inspired by the successes of public protest in other countries occupied public space on Wall Street, the location in Manhattan that has come to stand for the excesses of the financial sector. Not only does Wall Street stand for the banks that fueled the ongoing “Little Depression“; … Continue reading »
What to do about the debt ceiling
I vote for Calculated Risk‘s Option #1: The Treasury’s lawyers should simply announce at 9 am Monday morning that (a) since the Constitution prohibits questioning the validity of the national debt, and (b) since the continuing resolution that mandates spending through September 30 was passed later in time than the restriction on borrowing, that (c) … Continue reading »
Why Governor LePage can’t erase history, and why we need a fighter in the White House
Maine Governor Paul LePage has ordered state workers to remove from the state labor department a 36-foot mural depicting the state’s labor history. Among other things the mural illustrates the 1937 shoe mill strike in Auburn and Lewiston. It also features the iconic “Rosie the Riveter,” who in real life worked at the Bath Iron … Continue reading »