The New York Times
Business Day
By LOUISE STORY and JAMES KANTER
Ever since the financial crisis, when derivatives were blamed for excerbating the panic, regulators have been looking for ways to make these complex financial instruments less risky. Now regulators are also considering whether a small network of big banks unfairly controls the derivatives market itself.[...]
That news story appears in today’s New York Times.
America’s G.O.P.(neocons) are treating today’s Great Recession(which they caused) the same way the G.O.P. treated 1929′s Great Depression. In 1929, instead of focusing on the cause of economic problems at home, they created TARIFFS to raise “mo” money. Tariffs had nothing to do with causing the depression. But Tariffs shifted focus away from America’s financial industry which was the G.O.P.‘s base. And America’s depression became a GREAT DEPRESSION.
And 80 years later the G.O.P., brandishing a new name, are solving economic problems the same old way they “solved” them in 1929. Protecting America and protecting a political base are vying for the attention of the neocons. And it looks like the political base has gotten neocon attention.
Europe may well be decoupling its financial behavior away from America’s financial behavior. It may well be a matter of intelligence quotient.
Derivatives(the financial kind) are not intrinsically bad or evil. But any tool in the wrong hands can spell trouble.
Derivatives have been around since before Christ. But in the de-regulated, greed infested environment of the neocon’s political base, they were as effective in killing economies as one can imagine.
And America’s neocons don’t see their political base as causing a problem. They see the problem, basically the same way they did in 1929. And that means their political base is not to be investigated.
References:
Story, Louise and Kanter, James. “Europe Opens Antitrust Cases Over Banks Dealing in Derivatives”; New York Times April 30, 2011: Business Day
Tags: banks, control derivatives market, derivatives, Europe, g.o.p., great depression, neocons, political base, regulators, small network of banks, tariffs
