OFFICIAL Elizabeth Warren is awesome thread

[deacs1995]

http://money.cnn.com/2015/03/30/inv...et-donations-bring-it-on/index.html?iid=HP_LN

 

[DeacWatcher]

Let's say for a minute that Warren steps in to run against Hillary and in fact wins the nomination. How would she play in the rest of the country? Would CO, NM, VA, OH, WI, FL still go for a Democrat that wasn't Hillary?

 

[Deacfreak07]

Let's say for a minute that Warren steps in to run against Hillary and in fact wins the nomination. How would she play in the rest of the country? Would CO, NM, VA, OH, WI, FL still go for a Democrat that wasn't Hillary?

Hard to say in a vacuum. Depends on the opposition. Plenty of meat on social issues versus a GOP candidate that has tacked hard right.

 

[PhDeac]

Also no candidate has made a hard push against income inequality. Not sure how an anti-Wall Street campaign would work with poor whites people who tend to vote Republican.

 

[SkinsNDeacs]

Also no candidate has made a hard push against income inequality. Not sure how an anti-Wall Street campaign would work with poor whites people who tend to vote Republican.

Is an anti-wall street campaign the answer to income inequality? If so, how? If we are just talking about taking the money out of the WS tycoon's pocket that is fine but I am not sure that means much to poor white people who tend to vote Republican.

Edit...I know this will not be a popular opinion on this board but I see no way Warren has much appeal to swing state voters. That would be akin to Republicans electing a Tea Party donk. It would give the election to the Republicans.

 

[ImTheCaptain]

i mean, wanting to bust the big banks for being shitty actors leading up to and after the Recession isn't the same thing as income redistribution

 

[PhDeac]

Also the distribution of resources toward Wall Street and investors and away from American workers is a huge source of income inequality.

 

[SkinsNDeacs]

Also the distribution of resources toward Wall Street and investors and away from American workers is a huge source of income inequality.

So how is that going to be handled? It can't just be bust up wall street. How is that money going to find its way back to main street? Divided equally? To each according to his need?

 

[DeaconSig]

So how is that going to be handled? It can't just be bust up wall street. How is that money going to find its way back to main street? Divided equally? To each according to his need?

So you don't actually want to have a discussion, I take it.

 

[Wakeforest22890]

http://www.huffingtonpost.com/2015/...imon_n_6972182.html?ncid=txtlnkusaolp00000592

Story in the new afterword for Warren's new book:

"When the conversation turned to financial regulation and Dimon began complaining about all the burdensome rules his bank had to follow, I finally interrupted. I was polite, but definite. No, I didn’t think the biggest banks were overregulated. In fact, I couldn’t believe he was complaining about regulatory constraints less than a year after his bank had lost billions in the infamous London Whale high-risk trading episode. I said I thought the banks were still taking on too much risk and that they seemed to believe the taxpayers would bail them out -- again -- if something went wrong.

Our exchange heated up quickly. By the time we got to the Consumer Financial Protection Bureau, we weren’t quite shouting, but we were definitely raising our voices. At this point -- early in 2013 -- Rich Cordray was still serving as director of the consumer agency under a recess appointment; he hadn’t yet been confirmed by the Senate, which meant that the agency was vulnerable to legal challenges over its work. Dimon told me what he thought it would take to get Congress to confirm a director, terms that included gutting the agency’s power to regulate banks like his. By this point I was furious. Dodd-Frank had created default provisions that would automatically go into effect if there was no confirmed director, and his bank was almost certainly not in compliance with the those rules. I told him that if that happened, “I think you guys are breaking the law.”

Suddenly Dimon got quiet. He leaned back and slowly smiled. “So hit me with a fine. We can afford it.”

As if anyone could hate this asshole anymore.

 

[PhDeac]

So how is that going to be handled? It can't just be bust up wall street. How is that money going to find its way back to main street? Divided equally? To each according to his need?

That's a strange question on this thread. Just read some Elizabeth Warren.

 

[TR1982]

Also the distribution of resources toward Wall Street and investors and away from American workers is a huge source of income inequality.

In what way?

 

[PhDeac]

In what way?

Not sure I understand your question. If people are investing in financial products managed by the pencil pushers or paying dividends to investors instead of creating jobs or increasing wages, that contributes to income inequality. More money goes to the financial services industry and big investors rather than lower and middle class workers.

 

[TR1982]

Not sure I understand your question. If people are investing in financial products managed by the pencil pushers instead of creating jobs or increasing wages, that contributes to income inequality.

The banking system underwrites that process through financial intermediation. In fact, that's a much more effective way of creating jobs, because financial institutions are more adept at identifying potentially successful entrepreneurs.

 

[Deacon923]

The banking system underwrites that process through financial intermediation. In fact, that's a much more effective way of creating jobs, because financial institutions are more adept at identifying potentially successful entrepreneurs.

That's a nice story, but the last 30 years indicates it's just not true. The financial system we have in this country is mainly adept at wringing cost out of companies and returning the proceeds to investors. The result is effectively disinvestment in American workers and the American economy, in favor of investment in cheaper workers and cheaper materials elsewhere. The financial industry serves itself and the investor class. A efficient financial sector is good, don't get me wrong, but the amount of GDP being hoovered up by the financial sector in 2015 is extremely disproportional to the good it does for the broader economy.

http://www.pbs.org/newshour/making-sense/biggest-scam-bankrupting-business-middle-class/?utm_content=buffer7aab1&utm_medium=social&utm_source=facebook.com&utm_campaign=buffer

http://tcf.org/blog/detail/graph-how-the-financial-sector-consumed-americas-economic-growth

 

[bmoneydeac]

Any hypothesis as to why the depression caused a steep two decade decline while the 2008 recession didn't even hardly slow down the growth?

 

[Deacon923]

Any hypothesis as to why the depression caused a steep two decade decline while the 2008 recession didn't even hardly slow down the growth?

I'm no expert on economic history or bank regulation, but I think some key differences in government policy toward the financial sector are fairly obvious.

After the great crash of 1929 there was a big outpouring of federal legislation attempting to get the financial sector under control where it had previously been almost completely unregulated. Example, the 1934 Exchange Act, the 1933 Securities Act, and of course Glass-Steagall. Also, the government did almost nothing to prop up failing banks and instead many went under, losing all their depositors money and making a generation of Americans distrustful of the sector.

After the 2008 crash, not only was the regulatory response tepid, the taxpayer actually poured billions into the financial system to prop it up. There were almost no bank failures, and the weakest banks were absorbed by the strongest and no depositors lost money. A major component of Glass-Steagall was repealed by the Gramm-Leach-Bliley bill in 1999, so that brake on the sector was already gone, along with many other regulatory brakes on the sector that had steadily been stripped away since 1980.

 

[deacvision7]

The banking system underwrites that process through financial intermediation. In fact, that's a much more effective way of creating jobs, because financial institutions are more adept at identifying potentially successful entrepreneurs.

LOLOLOLOLOL


You don't seriously believe what you typed there, do you?

 

[PhDeac]

This is TR. He's an AIG stooge. He actually believes that stuff.

 

[deacs1995]

The banking system underwrites that process through financial intermediation. In fact, that's a much more effective way of creating jobs, because financial institutions are more adept at identifying potentially successful entrepreneurs.

similar as to how adept they were at identifying successful home mortgage borrowers.