The Godfather of the housing crisis, Alan Greenspan, believes the big banks that feasted on his policies are effectively out of control. So, what to do about the banks gone wild? How about hitting them where it hurts- right in the wallet?
“I don’t think merely raising the fees or capital on large institutions or taxing them is enough,” Greenspan said. “I think they’ll absorb that, they’ll work with that, and it’s totally inefficient and they’ll still be using the savings.”
Probably right. There are enough outlets for banks to pass on those costs they’d hardly notice. Greenspan is a pretty cerebral guy though. He must be able to find a clever way to solve the too-big-to-fail issue while paying close attention to the recent delicate stabilization of the big banks amidst an environment of populist outrage and politicians foaming at the mouth for the opportunity to teach banks a lesson they’ll never forget.
U.S. regulators should consider breaking up large financial institutions considered “too big to fail,” former Federal Reserve Chairman Alan Greenspan said.
“If they’re too big to fail, they’re too big,” Greenspan said today. “In 1911 we broke up Standard Oil — so what happened? The individual parts became more valuable than the whole. Maybe that’s what we need to do.”
For the banking crucifixion squads, irrational exuberance may be back.
Greenspan Says U.S. Should Consider Breaking Up Large Banks [Bloomberg]
Posted by guest , Oct 15, 2009 11:58AM
Please don't use "banking" and "crucifixion" in the same sentence. It pisses us Gentiles off.
Posted by guest , Oct 15, 2009 11:59AM
We're going to hit you where it hurts...
In the dick!
Posted by guest , Oct 15, 2009 12:03PM
He wants his precioussssss.....
Posted by guest , Oct 15, 2009 12:05PM
Greg -
Have you ever heard "run on sentance. Fifty One fucking words there Pal. You are illiterate. And a douche bag.
Love,
Mom
Posted by guest , Oct 15, 2009 12:05PM
Nosferatu.
Posted by guest , Oct 15, 2009 12:11PM
Does anyone else find completely annoying people that constantly update facebook with the minutae of their stupid lives? i cannot take it anymore
Posted by guest , Oct 15, 2009 12:13PM
Dear Mr. Greenspan,
Thank you for your interest in joining our "Five Dollar Footlong" marketing campaign. While we are skeptical that you could, in your words, "totally fuck up that Strahan pussy," we do agree that the attempt would create great buzz for the company. Unfortunately, we have to decline your offer as we do not want to confuse our customers as to the price of the footlongs.
Sincerely,
Jared Fogle
PS Please keep in touch, we may call you back in the event of inflation
Posted by guest , Oct 15, 2009 12:18PM
I actually never noticed the sixth figure...
Posted by facebook commenter , Oct 15, 2009 12:26PM
what i find most annoying is people who's updates exclusively relate to every little detail abotu their child and/or being a mother. its horrifying that these people have nothing to comment on other than staying at home and changing diapers. so obnoxious.
Posted by guest , Oct 15, 2009 12:28PM
@7, I bet all the fellas think you're a real cut-up at the office. fucking douche.
Posted by Lowly Assistant , Oct 15, 2009 12:35PM
Making a difference, one click at a time (which is to say, enlarge).
http://copyranter.blogspot.com/2009/10/latest-from-american-apparels-crack-ad.html
Posted by guest , Oct 15, 2009 12:37PM
"Kali Ma!...KALI MA!"
Posted by guest , Oct 15, 2009 12:39PM
Yes, we know you love your children, you do not need to post how much you love your children every day.
Posted by Anal_yst , Oct 15, 2009 12:43PM
I've been known to write in stream-of-consciousness, but 50-word sentences are a bit ridiculous, especially when they could be cut down to
Posted by guest , Oct 15, 2009 12:44PM
Why is Woody Allen screaming?
Posted by guest , Oct 15, 2009 1:02PM
when c is broke up in2 lil peacez, i wud like to pwn the depositxors, pl33z. kthxnbai!
Posted by guest , Oct 15, 2009 1:04PM
He looks so_______________ in that picture!
Posted by guest , Oct 15, 2009 1:11PM
He looks so Godfatherly in that picture.
Posted by guest , Oct 15, 2009 1:12PM
He looks like the old Jim Cramer in that picture!
Posted by guest , Oct 15, 2009 1:16PM
Count them,5 .... I got 5 fingers up Bartiromo's ass.
Posted by guest , Oct 15, 2009 1:20PM
@20 oh yeah...i got 6 - count'em - 6 fingers
Posted by HAM05 , Oct 15, 2009 1:21PM
@20 6 dude, 6
Posted by guest , Oct 15, 2009 1:24PM
@20 - I got my entire foot up in dat.
CG
Posted by NotNasser , Oct 15, 2009 1:30PM
“If they’re too big to fail, they’re too big,” Greenspan said today. “In 1911 we broke up Standard Oil — so what happened? The individual parts became more valuable than the whole. Maybe that’s what we need to do.”
---
Seriously people -- I know the six fingers thing is a barrel of laughs, but be serious for a sec and help me out. Is Greenspan really trying to say, in the above example, that the break-up of standard Oil rendered the oil industry rational and efficient forever after? No troubles since?
Didn't his book say that the Iraq War was started largely to save that industry's a$$?
Posted by guest , Oct 15, 2009 1:33PM
@ 16 - I miss Hax0r economist
Posted by guest , Oct 15, 2009 1:40PM
@24 you came to the wrong place if you're looking for "serious"
But just to humor you, he's referring to how, within a year and a half of the standard oil breakup, the combined market cap of the broken up companies was double what Standard Oil's had been.
Posted by guest , Oct 15, 2009 1:48PM
@24
Here's what we need from you big guy. Hit the Back button a few times. This should return you to The Huffington Post website. Serious discussion from a left wing (or right wing for that matter) perspective not appreciated here.
Posted by highlyconfident , Oct 15, 2009 2:26PM
@24 I fit my entire lubed up head in that ass; however I was promptly told to remove it because I am apparently a tickler.
-D. Bove
Posted by NotNasser , Oct 15, 2009 4:10PM
#27
My "perspective" is anarcho-cap. Both right wing and left wing at the same time. Which makes me perfect for Dealbreaker, but for my sporadic outbreaks of sobriety.
Posted by polizeros , Oct 15, 2009 4:15PM
Even a stopped clock is right twice a day
Posted by NotNasser , Oct 15, 2009 4:16PM
#26,
"he's referring to how, within a year and a half of the standard oil breakup, the combined market cap of the broken up companies was double what Standard Oil's had been."
Thanks. And the gasoline was a lot cheaper, too. And the industrialized world became dependent on the cheapness of the stuff, like an addict needs his fix to stay affordable, and just like the US in the 1990s and again inthe middle of the noughts became dependent on the cheapness and easy availability of credit.
The addict's motto is always, "what can go wrong?"
And there is Greenspan, the great enabler, talking about how we can enable again.
Posted by guest , Oct 15, 2009 6:26PM
Not a bad post, Greg.
Posted by guest , Oct 15, 2009 9:28PM
U.S. regulators should consider breaking up large financial institutions considered “too big to fail,” former Federal Reserve Chairman Alan Greenspan said.
Alan, asshole; it is you who allowed too big to fail, deregulation, conglomerate institutions, global banking and the offshore gig. WTF?
Posted by guest , Oct 16, 2009 9:17AM
Douche Bag
http://www.youtube.com/watch?v=RNZWZv6DbdI
Posted by guest , Oct 16, 2009 9:48AM
Translation: "John Paulson said I couldn't cash my advisory board check unless I came out against the banks today." Alan "the lapdog" Greenspan