Greenspan: Break Up Big Banks That Are "Too Big To Fail"

bloomberg.com:

Oct. 15 (Bloomberg) -- U.S. regulators should consider breaking up large financial institutions considered "too big to fail," former Federal Reserve Chairman Alan Greenspan said.

Those banks have an implicit subsidy allowing them to borrow at lower cost because lenders believe the government will always step in to guarantee their obligations. That squeezes out competition and creates a danger to the financial system, Greenspan told the Council on Foreign Relations in New York.

Read the whole story: bloomberg.com

Comments

[we must be aware]

This is the only time which I can remember that I agree with Greenspan!!

[Harrier]

While agree with him on this subject, I wish he would just shut up. He is the cause of this crisis and frankly I dislike everything about him and think he should be in jail with Robert Ruben

[we must be aware]

I could not say it any better. Ruben is also one the biggest crooks.

[PhilipTaylor]

Nothing is T00 B1G T0 FA1L! D!nosaurs D1ED!

WALL STREET FIVE BANKS must FAIL!

The COST TO AMERICA of WALL STREET BANKS NOT FAILING is $7 Million per Family in America!

“We are in the Midst of what will turn out to be by future economic historians to have been an epic moment, namely the most MASSIVE transfer of liabilities (DEBTS) from the private sector (Banking and Corporations) to the public sector (Government and the People) that the world has ever seen. And I think that is going to be a painful and relatively slow process..(­taking many years),” said Famous Wall Street Billionaire EXPERT Wilbur Ross.

Debt from WS Banks to American Government = Wealth from American Government to WS Banks!

http://www.cnbc.com/id/15840232?video=1174574949&play=1

Skip to 2/3rds of the way to 7:58 through the video!

FAKE Government FUNDED PROFITS hide “Off-Balance-Sheet” Toxic Derivatives according to 0ffice of Comptroller of Currency, 0CC, quarterly Report:

1 JPM0RGAN $81TRILLION in Toxic Derivatives
2 BofA $78TRILLION
3 G0LDMAN $48TRILLION
4 M0RGAN $39TRILLION
5 C1T1GROUP $32TRILLION

http://www.occ.gov/ftp/release/2009-72a.pdf
Page23!

Controlled FA1LURE and saving the SMALLER good parts = Put back into the System!

[Furby2]

Gee thanks old man. Where were you a decade ago when you actually could have mattered?

[Haditup2here]

I think everyone knows by now that Greenspan is nothing more than the man behind the curtains in the Wizard of Oz.

[Furby2]

Excellent analogy.

[tompoe]

This from the man who championed tax cuts for the wealthy, leading ro an eight year grand total of 3 million created jobs. Why is he listened to?

[Stock market]

More work needs to be done to ensure equality in America

hat tip to: http://tiny.cc/financenews

[brady61995]

greenspan has as much to do with this economy as the war. he is the cause and effect of poor management and bad leadership that has led us down this road. another one that belongs in jail with berny and bushy and cheney. dogs the lot of them.

[JBGabriel]

The correct D. Rattigan link. I hope it works:

http://www.huffingtonpost.com/dylan-ratigan/the-cost-of-corporate-com_b_312516.html

[JBGabriel]

I have not agreed much with what Alan Greenspan had done as Chairman of the FRB Open Market Committee and I have often noted that he is the "greatest bubble maker since Lawrence Welk." However, I do acknowledge that he is a brilliant man who often after evaluating all the facts has just reached the wrong conclusions.

I have to admit that Mr. Greenspan as part of his act of atonement for his discredited economic and financial market theories, may be making the correct recommendation that the "too big to fail" banks should be broken up. In addition to the government welfare and continuing subsidies being received due to perceived continued government backing, the too big to fail banks have launched a coup d'etat against the United States Government. Wall Street and the big banks have the money and they are bribing the government to implement a continuation of the deregulation policy which has also been severely discredited.

When I speak of Mr. Greenspan's "atonement" for his errors, I am not being one of those holier than thou types. I realize that I too am imperfect and need to atone for my errors of omission or commission on an ongoing basis. This is the only way that our spirit and the human condition can be improved.

http://www.huffingtonpost.com/2009/10/15/derivatives-reform-weaken_n_322280.html?comments%3Fshow_comment_id=32859146#comment_32859146

http://www.huffingtonpost.com/dylan-ratigan/the-cost-of-corporate-com_b_312516.htm

[Furby2]

Speaking of blowing bubbles...­.

[sonofsamphm1c]

He usually wrong, and he's wrong again.

[filo]

I said the same thing last year. They forced AT&T to divest in the 80's and that worked out OK. I they are too big to fail then they shouls be cut down to size.

[Bettysdad]

A better idea would be to imprison anyone who admires Ayn Rand.

[sonofsamphm1c]

Interesting. Ron Paul behind bars? Sounds like a great idea.

[we must be aware]

What planet are you from?

[anticapitalist1983]

put up a poster in your neighborhood to show your displeasure with the financial crisis: http://www.scribd.com/doc/21140663/wallst

"wall street is at war with america"

it's time to stand up and say enough!

stop the bankers!!!!!!!!

[balancedsolution]

Alan or allen, at this point it's / he's irrelevant

[balancedsolution]

what a great idea Allen...

WHY DIDN'T YOU THINK OF THIS A FEW YEARS AGO?

TOO BUSY LIVING IT UP AND FEELING LIKE A HERO.....

FROM HERO to ZERO

[MayorQuimby]

The problem the U.S. faces (dire problem in fact) is that foreign countries are pulling out and are drastically reducing or slowing their Treasury purchases. The only entities powerful enough to keep lending us money are the Primary Dealers aka the banks. .gov cannot do anything about breaking things up until we're on much more solid financial footing.