Thursday, January 27, 2011

The jury isn't going quietly to the gallows

The Financial Crisis Inquiry Commission report is in and a majority of six concluded [this from the report] that this crisis was avoidable—the result of human actions, inactions, and misjudgments.  Warnings were ignored. “The greatest tragedy would be to accept the refrain that no one could have seen this coming and thus nothing could have been done. If we accept this notion, it will happen again.”

They listed a litany of bad policies and inaction or wrong and sometimes illegal actions of the Bush Administration, failures or wrong headed policies of the Federal Reserve and Allan Greenspan and Timothy Geithner then of the NY Fed and their successors. Wall Street bankers and credit rating bureaus as well as other bad players, you know all the people you’ve heard me rant about. No real surprises in the report but they do claim to have previously unseen proof that will go to prosecutors for review.  

The minority of the FCIC (four Republicans) concluded the majority report was simplistic and ignored the global aspects of the crisis and they blamed it on the housing bubble (code for brown people). In fact, the report didn’t ignore the global aspects of the crisis rather it rightfully blamed the Bush Adm, the Fed, Wall Street. Also the ratings agencies that told foreign investors that the securitized crap Wall Street was selling were AAA rated investments. (you know, just like Treasury Bonds or gold)

The media is gearing up to call this report a hung jury. Say what? The facts are in the report, it doesn’t matter if four of the ten “jurors” are made men in the crime family that’s on trial.

Today’s weekly jobless claims report jumped to 453,000 for last week, the corporate media has blamed this on the bad weather even though economists had predicted only 400,000 new claims. I guess economists don’t watch the Weather Channel, they don’t seem to actually watch the economy either.


Anonymous said...

At least the fantasy world of "the market economy" produces some rueful humor like, in this case, the notion of the "predatory (brown) borrower," a classic example of plutocratic projection.

John Puma