As my regular readers will know I have a unnatural obsession with American politics. Ever since Lehmans Day 2008 when Henry Paulson the US financial leader basically wanted the US government under George W Bush to give him trillions of dollars but no questions on what he was going to do with it. Luckily there was enough sensible people that thought it was beyond belief that tax payers could not ask its government what one of its official was going to do with trillions of dollars. In the end the public found out that Paulson was going to socialise the losses and privatise the profits! An absolute unique policy for any government to pursue. It turned out it became World policy for all those nations who had dodgy banks.
Amazingly most people accepted that they were going to pay for the lifestyle of bankers and their allies who messed up the economy, for the foreseeable future and didn’t rise up and had a revolution. In fact no one has been charged with complete recklessness and fraud when there was clearly a racket going on in which bankers were betting on red and it came black just like a roulette table. The best bit is that they got all their money back with bonuses, because the tax payer was made to hand over trillions of dollars to the cover the lifestyle and pretend that it was for the good of the economy.
Obviously there was other ways but that would mean more people knowing about the mess these guys did and the people may get a bit upset by the turn of events. One way was for the UK government to give every man woman and child roughly £25,000 ($37,000) and let them do whatever they wanted to do with that money. This was seen as ‘wasteful’ and not very controllable, whereas giving the bankers so much money that they could buy another super yacht would mean that they right people who were masters of the universe in terms of finance would then lubricate the markets and help create a stable economy so that the bankers can do it all again as they are too big to fail.
So nearly five years later things are back to normal in the sense that the bankers can bet on anything they want and the public can experience the joys of austerity to make sure the bankers maintain the lifestyle they are used to, including getting found out about manipulating LIBOR in which they fiddled the markets and robbed anyone who had a loan in the past 20 years out of millions and millions of pounds, dollars and euros.
The thing about this is that all governments are really scared of the bankers and therefore the regulators will not arrest anyone and try them for everything between treason, theft and fraud. Except one woman and her name is Elizabeth Warren!
Elizabeth Warren is doing the job all leaders should be doing but are too busy feathering their nest and coming out with crack pot ideas such as trickle down economics, creating privatised monopolies especially in utilities and other Ayn Rand inspired clap trap. Mt biggest regret about Elizabeth Warren is that she is an American and not British. I also predict that she will not last long over there because she is looking at ending this nonsense, therefore stepping on some very powerful toes. If she does manage to stop the tax payer from funding casino banking they should raise a statue to this woman. However, I think she will suffer the same fate as Kennedy, King, Kennedy, Lennon etc.
Check out the video and watch her ask simple but accurate question on why banks are not only too big to fail, but are now too big to jail?
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