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Peter J. Wallison

Peter J. Wallison

Posted: December 22, 2010 10:00 AM

If It's Incredible, Don't Believe It

What's Your Reaction:

Only in the fever-swamps of the left could anyone believe that the Republicans on the FCIC sought to "ban" the words "Wall Street," "shadow banking," "interconnection," and "deregulation" from the commission's report.

The drafts of the report we saw used the term "Wall Street" to apply to Countrywide Financial, the notorious subprime lender; it used the term "shadow banking" to apply to any financial institution, including insurance companies, hedge funds, and securities firms; and so on. You get the point.

What we were asking for was precision in the use of these words, so that when the words "Wall Street" were used they referred to the major commercial and investment banks that were underwriters for the private label securities that the commission majority's report discusses.

What we were told, in the case of "Wall Street" is that it's a general term for the financial system and thus could in fact include a subprime lender like Countrywide, based in California.

Maybe this was changed in subsequent drafts of the report, maybe it was not, but using the term Wall Street to describe the financial system generally is -- most objective observers would conclude -- a political statement rather than an accurate one. You decide.

Incidentally, what was released last week was not our "report." It was a statement of the issues as we saw them on the date when the statute that set up the commission had specified that the commission -- which was not ready on that date -- was supposed to issue its report. When the commission's report is finally available, it will have a full response from the minority. This full response, however, will not be included in the commercially published book on the commission's report. For that book, minority reports and dissents, which probably total over 55,000 words, were limited by the majority to 9 pages (or 4050 words) for each of the four of us. It should shock those who have been so loudly denouncing the Republicans to learn that Republicans' alternative views will not be fully included in the book that will be in all the bookstores in the U.S. on the date the report is released. We'll all be interested to see whether the advocates for free speech are as loud in condemning that as they have been in circulating misleading statements about what the Republicans want to ban from the majority's report.
 
 
 
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HUFFPOST SUPER USER
ZeraLee
A Citizen's View from Main Street
06:31 AM on 12/27/2010
The public has it's own understanding of what the term "Wall Street" encompasses, and any attempt to narrow that definition is going to be perceived as deception. Republicans already have a reputation for "alternative" definitions, so there was nothing "incredible" about the original report.

"most objective observers would conclude" is a statement of opinion, not fact. The first sentence of the article proves that the author is not objective, and therefore cannot accurately predict the conclusions of those who are objective.
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Peter Combs
Amused by the illogical..no, NOT a Republican
11:57 PM on 12/26/2010
there you go again...confusing the left with facts and logic....perpare to be attacked ....

if you have anything contrary to express...your viewpoint is automatically denouced without any supportable facts and dressed down in a coat of convoluted thinking that would confuse Plato. Without any reasonable or convincing argument you are simply wrong regardless, its the new American way.

When the report shows the linkage between Countrywide, Fannie, Freddie and the Democratic leadership...it will be called a lie....and revert back to Mr. Bush.....because everything reverts to Bush/Cheney.

Anyone who ACTUALLY has followed closely the Banking Mortgage Mess and its collapse already knows whats in this report...if you've seen the testimony during the hearings, read the Bills, tracked the repeal of Glass Steagle, noted the stories on Freddie and Fannie's practices, remember how the Fed forced the 7 biggest Banks to take Tarp money, watched what happend to AIG and Ambac, remember UBS's famous initial write down of losses in the spring of '08 for 42 Billion dollars...and why. as well as looked at honestly the borrowing practices of America's ignorant population... The answer is no mystery...and the blame falls sqaurly on now ones feet.

For me, its amazing it didn't happen a few years sooner...
01:15 PM on 12/26/2010
No, looking at their history and their modus operandi, it is very credible.
HUFFPOST SUPER USER
nkurland
I'm going to leave this planet alive
09:19 PM on 12/23/2010
The simple fact about Wallison is this: he got his start in the Reagan administration crafting a proposal to repeal Glass- Steagall and has been co- director of the AEI's financial deregulation project for the past 10 years. What we're witnessing is a series of desperate attempts by this man to preserve his own credibility,and by extension, that of an ideology that has been thoroughly discredited, to say the least.
10:57 AM on 12/23/2010
Manipulation of language and the meaning of words has worked wonderfully for the gop to manipulate and control their base directing their anger at the left. The politicians of the left are experts at not saying anything meaningful in retort with notable exceptions such as Bernie Sanders, Marcy Kaptur, Alan Grayson and some others.
09:51 AM on 12/23/2010
"Maybe this was changed in subsequent drafts of the report, maybe it was not, but using the term Wall Street to describe the financial system generally is -- most objective observers would conclude -- a political statement rather than an accurate one. You decide.

I think is an accurate one.
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Doc P
All gave some Some gave all
10:42 PM on 12/23/2010
Ditto. Methinks this dude went to a lot of trouble to deny such trivia, but never really issues a concrete denial. And then to whine about whether corrections will be made? Lololol, like Faux does?? Or any other repub? please, dude, please.
Do all repubs have such thin skin? Or is it self-esteem issues?
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jmpurser
See My micro-bio
09:44 AM on 12/23/2010
So, when the Republicans issued their own, separate report that DIDN'T include any of these words is THAT when the story became "incredible"? Because I certainly didn't believe their report.
07:34 AM on 12/23/2010
I "googled" to see who funds the American Enterprise Institute which this poster is a fellow. Irving Kristol left the Congress for Cultural Freedom in the late 1960s to work at the AEI. This is a republican right wing, corporate funded "thunk tank". This means any comments are suspect and probably corporate money influenced.
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Doc P
All gave some Some gave all
10:43 PM on 12/23/2010
The check has been cashed, and profound indignation shall be proclaimed!
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TedCollins
An Englishman living in France who loves America
07:34 AM on 12/23/2010
When an article with the phrase "the fever swamps of the left", you can already identify it as a spittle-flecked Rush Limbaugh style screed with all of the credibility of one of those paranoid secret histories that Glenn Beck scrawls on his blackboard every night.

I actually appreciate this. It tells me that I don't have to pay attention to anything that comes afterwards, saving me the trouble of shoveling through a pile of toxic disinformation and right-wing propaganda.

It is kind of like when a troll kindly identifies himself by referring to the Democrat party.
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Doc P
All gave some Some gave all
10:45 PM on 12/23/2010
Oh, but please stop by and post whatever pleases...(you know he/they read them!)
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07:07 AM on 12/23/2010
Word manipulations incredible? From the bunch that brought us "freedom fries"?
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HUFFPOST SUPER USER
MeinNH
Ooooo Silly Me
09:35 AM on 12/23/2010
So true....
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Doc P
All gave some Some gave all
10:45 PM on 12/23/2010
And Frankie "The Pen" Lutz!
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HUFFPOST SUPER USER
TheIndependenceParty
Cranky yankee and a rehabilitated ex-Republican
06:33 AM on 12/23/2010
The last thing we should do, as a nation, is cast aspersions on such a venerable institution as "Wall Street"! Heaven forbid. "Shadow Banking" sounds so, ... criminal in some way, ... as if there were fraud being perpetrated upon Americans in some way, ... bad loans or investments of some kind. AS for the lines between investment banking and insurance, commercial and savings banks, ... Well, I suppose we can thank Congress and several presidents for that confusion.

Calling it something else will have no effect whatever on those who have lost trillions in property value, retirement and investment funds, and the like. A spade is a spade, no matter what deck you deal them from!

Next time leave the specter of Frank Luntz out of the conversations, and we all would be better served.
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kamachanda
Mr. President, Tear this Wall Street down!
06:27 AM on 12/23/2010
If it's incredible, it is probable that its just another right wing talking point.
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Romeover
Civilization is for weaklings.
06:07 AM on 12/23/2010
Is it incredible?

"Word Ban

The divide intensified when Thomas proposed in the last few weeks deleting a series of words Republicans thought were pejorative or not precise enough to refer to a financial system that included mortgage lending or insurance firms, for example. Included in the proposal, according to Brooksley Born, a Democrat on the panel, were the words “Wall Street,” “deregulation” and “shadow banking.”"

ref http://www.bloomberg.com/news/2010-12-15/crisis-panel-s-split-on-blaming-wall-street-may-limit-impact-of-findings.html

I do not find "incredible": an attempt by the Republican stooges on the committee to remove language they fear might incite the public against their predator masters.

Is my language an attempt to incite? You betcha.
09:54 AM on 12/23/2010
Excellent.
professor
Correkt the Spelling and Pick on the Moniker
03:33 AM on 12/23/2010
Whenever you talk about the Wall Street crash, the classic winger talking point is Freddie Mae and Fannie Mac. Because, you see, they are partially nationalized. So it must be their fault. When they start this, just say "talking point" at them and shut them up.
09:15 PM on 12/22/2010
Say no more --- no no seriously say no more --

The usual suspects ....

Some AEI scholars are considered to be some of the leading architects of the second Bush administration's public policy.

[7] More than twenty AEI scholars and fellows served either in a Bush administration policy post or on one of the government's many panels and commissions. Among the prominent former government officials now affiliated with AEI are former U.S. ambassador to the U.N. John Bolton, now an AEI senior fellow; former chairman of the National Endowment for the Humanities; Lynne Cheney, a longtime AEI senior fellow; former House Speaker Newt Gingrich, now an AEI senior fellow; former Dutch member of parliament Ayaan Hirsi Ali, an AEI visiting fellow; and former deputy secretary of defense Paul Wolfowitz, now an AEI visiting scholar. Other prominent individuals affiliated with AEI include Kevin Hassett, Frederick W. Kagan, Leon Kass, Charles Murray, Michael Novak, Norman J. Ornstein, Richard Perle, Radek Sikorski, Christina Hoff Sommers, and Peter J. Wallison.[8]

http://en.wikipedia.org/wiki/American_Enterprise_Institute
01:47 AM on 12/23/2010
when i see AEI i don't even bother reading the post.