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Too Big to Fail

Friday Talking Points [119] -- Democrats, Sell Yourselves!

Chris Weigant | Posted 05.25.2011 | Politics
Chris Weigant

Democrats won't succeed in getting public opinion behind their Wall Street reform if they let their opponents define the bill. So far, they've been doing an excellent job defining it themselves, for once.

The Case Against Jamie Dimon: Oligopoly, Pain, and Systemic Risk in Five Slides

Richard (RJ) Eskow | Posted 05.25.2011 | Business
Richard (RJ) Eskow

Here's the danger: the centralization of risk and power is leading us right into another disaster. We need to get the banking oligopoly under control. But Jamie Dimon is fighting back tooth and nail. And that's why we must fight Jamie Dimon.

Shahien Nasiripour

Volcker: New Government Powers Won't Be Able To Dismantle Megabanks; Too Big To Fail Lives Despite Reform Bill

HuffingtonPost.com | Shahien Nasiripour | Posted 05.25.2011 | Business

Updated at 5:45 p.m. ET. Former Federal Reserve Chairman Paul Volcker believes the centerpiece of the administration's effort to end Too Big To Fail ...

Why I Moved My Money

Alan Cumming | Posted 05.25.2011 | Business
Alan Cumming

Goldman Sachs emailed me to remind me of the amount of cash I made whilst my money was with them. This of course just reminds me of why I moved my money in the first place: it was the only way I could show that I did not approve of them.

'13 Bankers' In 4 Pictures: Why Wall Street Profits Are Out Of Whack

James Kwak | Posted 05.25.2011 | Books
James Kwak

We're not saying that everyone has to agree with everything we say about these pictures. But they make clear what kind of financial system we have today. And they need some kind of explanation.

Shahien Nasiripour

St. Louis Fed Chief Calls For Megabanks To Be Broken Up, Joins Other Top Fed Officials

HuffingtonPost.com | Shahien Nasiripour | Posted 05.25.2011 | Business

A third top Fed official is calling for megabanks to be broken up. James Bullard, president and chief executive of the Federal Reserve Bank of St. Lo...

Banking in America: Swimming in the Deep End

Dennis Santiago | Posted 05.25.2011 | Business
Dennis Santiago

It occurred to me that, somewhere along the way, people might be curious about understanding bigger banks in some context other than political vilification.

Fact-Checking The War Of Words On Financial Reform

AP | JIM KUHNHENN | Posted 05.25.2011 | Business

WASHINGTON — Republicans say White House-backed legislation to oversee the financial industry would lead to more government bailouts. Democrats ...

John Mauldin: Reform Credit-Default Swaps And End Too Big To Fail -- Or Else 'We'll Have A Real Crisis' (VIDEO)

The Huffington Post | Grace Kiser | Posted 05.25.2011 | Business

In an interview with Aaron Task and Henry Blodget on Tech Ticker today, John Mauldin, the influential investor behind the online newsletter "Thoughts ...

Shahien Nasiripour

Another Top Fed Official Calls For U.S. To Break Up Megabanks

HuffingtonPost.com | Shahien Nasiripour | Posted 05.25.2011 | Business

Referring to the danger posed by megabanks as one that's able to spread "debilitating viruses throughout the financial world," a second top Federal Re...

Sheila Bair, FDIC Chief: Reform Bill Will Make Bailouts 'Impossible'

American Banker | Rob Blackwell | Posted 05.25.2011 | Business

Would this bill perpetuate bailouts? SHEILA BAIR: The status quo is bailouts. That's what we have now. If you don't do anything, you are going to kee...

Don't Forget the Kanjorski Amendment

Simon Johnson | Posted 05.25.2011 | Business
Simon Johnson

The Kanjorski amendment is important for the next time a major bank gets into serious trouble. Judging from their current swagger and the slogans you hear from top bankers, we only have to wait a few years for the next bailout cycle.

Breaking up Citi and Other Mega-Banks: the Missing Blueprints

Charlie Cray | Posted 05.25.2011 | Business
Charlie Cray

We asked a group of industry experts and watchdogs to tell us if they thought the government should leverage its stake in Citi to break up the bank -- and if so, how? Our new report provides some interesting answers to these fundamental questions.

WaMu Employees Rapped, 'I Like Big Bucks And I Cannot Lie' Before Bank Failed

Huffington Post | Grace Kiser | Posted 05.25.2011 | Business

Testifying before a Senate subcommittee yesterday, former Washington Mutual chief executive Kerry Killinger suggested that WaMu was "allowed" to colla...

Senator McConnell Is Wrong, Senator Kaufman Is Right. Any Questions?

Baseline Scenario | Simon Johnson | Posted 05.25.2011 | Business

Senator Mitch McConnell continues to insist that the Dodd bill creates permanent bailouts -- and that it would be definitely better to do nothing. Ap...

Will the Senate Clear the Financial Market Minefield?

SAFER | Posted 05.25.2011 | Home
SAFER

Jennifer Taub As early as next week, we will learn whether the United States Senate has the courage to clear the financial market minefield. If so, o...

Ryan McCarthy

'The Fourteenth Banker,' Anonymous Bank Insider, Describes His Moral Crisis: 'The System Is Built To Be Gamed'

HuffingtonPost.com | Ryan McCarthy | Posted 05.25.2011 | Business

"The system is built to be gamed." "The voices of dissent are not being heard." These are the words of an anonymous executive at one of Americ...

Weekly Audit: Congress Must Get Tough On Wall Street

The Media Consortium | Posted 05.25.2011 | Home
The Media Consortium

by Zach Carter, Media Consortium blogger Congress returns from its April recess this week with financial reform at the top of its to-do list. With mil...

Greek Bailout, Lehman Deceit And Tim Geithner

Baseline Scenario | Simon Johnson | Posted 05.25.2011 | Business

We live in an age of unprecedented bailouts. The Greek package of support from the eurozone this weekend marks a high tide for the principle that com...

Timothy Geithner: How To Prevent America's Next Financial Crisis

Timothy Geithner | Timothy Geithner | Posted 05.25.2011 | Business

The Senate bill is strong. It would create an independent agency to better protect American families across the financial marketplace. It would protec...

Credit Unions Begin To Promote Their Strengths

New York Times | ANDREW MARTIN and RON LIEBER | Posted 05.25.2011 | Business

Credit unions have a reputation for being rather dull and conservative, and for decades, America's First Federal Credit Union in Birmingham, Ala., was...

Does Size Matter? Simon Johnson vs. Paul Krugman on Whether to Break Up "Too Big to Fail" Banks

Miles Mogulescu | Posted 05.25.2011 | Business
Miles Mogulescu

Paul Krugman and Simon Johnson are two of my favorite economic commentators, but when it comes to the issue of breaking up mega-banks, they take dramatically opposing positions.

Citigroup: Still A Member Of The 'Too Big To Fail' Club, Says Moody's

Huffington Post | Ryan McCarthy | Posted 05.25.2011 | Business

Citigroup still maintains full membership in the 'Too Big To Fail' club, according to a report released today by Moody's. (Hat tip to WSJ's Real Time ...

New York Times Does Not Understand Main Street

Don McNay | Posted 05.25.2011 | Media
Don McNay

Reporting that Main Street was complicit in the financial meltdown is like blaming a murder victim for being in the wrong place at the wrong time.

Shahien Nasiripour

ANOTHER Fed Official Says Senate Bill Doesn't End 'Too Big To Fail'

HuffingtonPost.com | Shahien Nasiripour | Posted 05.25.2011 | Business

The Senate financial reform bill serving as the base text for Congressional negotiations doesn't end the perception that the nation's largest financia...