Leaked Memo Reveals Who Caused Global Financial Collapse, Now Appointed Fed Res Chairman?

Warning - some crude language

Ran across this vid by a youtube political comedian and it resonated truth with controversy and made me wonder. I wanted to run it through the mill here for some feedback. It is 2 part, one, addressing reason for global Finance Collapse and the other is who will be appointed to Chairman to FR. He is addressing a leaked memo from Greg Pallast which reveals how Summers and Geitner in 97 described an "end game" for WTO. A small group of bankers looking to demolish regulations around the world in order to gamble everyone's money by deregulating the banks of all wto nations and introducing derivatives. 156 nations were threatened to be barred from trading with US. Basically all nations accepted derivatives and that is where the unravelling began.

Obama is promoting Summers as his lead pick for a possible new Chairman to Fed Reserve. The comedian describes this as liken to:
George Zimmerman being in charge of NAACP
Lance Armstrong in charge of DEA
WestBoro Baptist Church in charge of sensitivity training
Dick Cheney in charge of a children's bake sale for puppies with restless leg syndrome.

I laughed a little but wanted to shake fist as well at this revelation. What do you guys think of this memo and Summers potential as new chairman to FR?

reply to post by speculativeoptimist

Obama is promoting Summers as his lead pick for a possible new Chairman to Fed Reserve.

I don't usually respond to videos with videos but this is apropos and succinct.

Man that guy was funny and he kept real as f***, I'm not to sure about everyone else, but how I suppose to stop this guy from becoming Pres of the Fed. Like, if we had any control over that would we even be in this situation?

reply to post by greencmp

Revealing indeed, crony capitalism and conflict of interests? Same as it ever was, just mo money and higher stakes. I don't think this behavior is limited to one party, but mire a sign o the times reflecting just how much money and power can be utilized in the 21st century. You can bet any future candidates will drum up similar support, but the appointing/positioning these conflicts of interest seem unjust,to the point of insulting. I agree with the gentleman that the record contributions is out of control, and this administration plays the game well, as any good politician would I suppose, using the established yet changing and manipulative rules.
Thank you for the addition

reply to post by agentofchaos

if we had any control over that would we even be in this situation?

Ask Ron Paul
Control? Not unless we get to vote on the Fed Res position.

We need a rogue but dedicated covert group of vigilantes to "take care" of the situation...

That is the only way it will ever be fixed..

the inmates are running the prison, what else would we expect.

reply to post by benrl

the inmates are running the prison, what else would we expect.

Or some politicians and antiquated paradigms keep fortifying our prison walls, after all it seems like we are the prisoners here. I get your drift though, and we see it the same way...powerless with futile expectations, kind of like slaves.

WTO. A small group of bankers looking to demolish regulations around the world in order to gamble everyone's money by deregulating the banks of all wto nations and introducing derivatives

It's good to see not everyone is jumping on the "blame democrats for helping poor people buy homes" bandwagon.

The fact is that the truth is usually more boring than the lies and I think that's why people don't like it.

reply to post by CB328

Me too, for that is a whole nuther ball o wax. I recall the outcome, judicially from the FBI that the financial institutions and mortgage fraud were more to blame than the people. I will definitely acknowledge the ignorance of folks who did not read or investigate such deals that seemed too good to be true, but the manipulation via predatory lending,securitization, inaccurate credit rating etc...were more of the designer's deed than those that bought into it, imo.
en.wikipedia.org...
But yea, no need to rehash that issue and I hope we steer clear of that and the left right debacle in this thread. United we stand

Just wanted to ad this about former Treasure Secretary Mr, Summers:

After Obama took office in 2008, he enacted sweeping ethics rules that say that no presidential appointee can work on matters directly related to a former employer for two years after taking a government job. That means that unless Obama grants Summers an exemption from the rules—a move that could be politically controversial—the former Treasury secretary will have to recuse himself from a slew of Fed decisions involving Citi, which is the third-largest bank in America. Experts say those recusals could hamper Summers' ability to run the Fed effectively.

The Obama administration has granted dozens of ethics rules waivers since 2009, but they have mostly gone to lower-level appointees with limited conflicts of interest. Were Summers to be granted a waiver, according to Holman, it would be the most significant one yet.

If appointed, Summers might have to remove himself from consultations on penalties levied against Citi for things like sketchy foreclosure practices and inadequate anti-money-laundering protections. Nor would he be able to vote on post-financial crisis rules that Congress ordered the Fed to draft, including restrictions on CEO pay and guidelines for how much emergency capital Citi has to keep on its books. (The Fed board votes on all regulations, mergers, and applications to form new banks; it has voted 20 times so far in 2013. Penalty decisions are often delegated to staff or regional reserve banks, but the board consults on them.)

Holman says Summers' potential conflicts of interest should trouble the White House. "You'd expect that if he represents a behemoth and has to recuse himself so frequently, that should be a factor in considering not appointing him." But Sanford Weill, the architect of the merger that created Citigroup and its chairman until 2006, is not worried. On Tuesday, he noted that that he has "unbelievable confidence" in Summers' ability to do the job.

www.motherjones.com...
Just more interesting info regarding this issue.

reply to post by speculativeoptimist


Here is yet another interesting article about Mr. Summers.


www.alternet.org...

The “end-game” would require not just coercing support among WTO members but taking down those countries refusing to join. Some key countries remained holdouts from the WTO, including Iraq, Libya, Iran and Syria. In these Islamic countries, banks are largely state-owned; and “usury” – charging rent for the “use” of money – is viewed as a sin, if not a crime. That puts them at odds with the Western model of rent extraction by private middlemen. Publicly-owned banks are also a threat to the mushrooming derivatives business, since governments with their own banks don’t need interest rate swaps, credit default swaps, or investment-grade ratings by private rating agencies in order to finance their operations.

The game then in play was the deregulation of banks so that they could gamble in the lucrative new field of derivatives. To pull this off required, first, the repeal of Glass-Steagall, the 1933 Act that imposed a firewall between investment banking and depository banking in order to protect depositors’ funds from bank gambling. But the plan required more than just deregulating US banks. Banking controls had to be eliminated globally so that money would not flee to nations with safer banking laws. The “endgame” was to achieve this global deregulation through an obscure addendum to the international trade agreements policed by the World Trade Organization, called the Financial Services Agreement. Palast wrote:

Until the bankers began their play, the WTO agreements dealt simply with trade in goods–that is, my cars for your bananas. The new rules ginned-up by Summers and the banks would force all nations to accept trade in "bads" – toxic assets like financial derivatives.

This guy is bad news for everyone. He is a big reason why the world economy is in the shape its in.