Wall Street is Unethical

[Milhouse]

oh for fuck's sake

 

[awaken]

Capitalism is great, it's the best engine the world has ever produced to improve living standards and build national wealth. But it has to be constrained and controlled by a reasonable system of law enforcement to prevent abuse of inefficient markets for the sole benefit of those with power, wealth, or political connections.

Agreed. The SEC should be in the headlines way more often than they are. One of the problems with this country - and this occurs regardless of which party holds the presidency - is that government regulation agencies are populated (bought off) by business insiders.

 

[buckets]

Also.... What if you polled the general population and asked if they'd do something illegal for $10mm if they knew they'd never be caught?

 

[Deacon923]

Also.... What if you polled the general population and asked if they'd do something illegal for $10mm if they knew they'd never be caught?

yeah I thought that particular question was stupid. I doubt the percentage in the general population would be that much different. The statistic that 23% of respondents, and 34% of highly compensated respondents, had personally witnessed colleagues engaging in unethical or illegal behavior was much more telling/disturbing in my opinion.

 

[wfumike02]

I'm reading Michael Lewis' latest book "Flash Boys" right now. It's about the gaming of the system that high frequency trading firms were doing by just being a handful of milliseconds faster than everyone else. Really interesting read - as was "The Big Short". I'm no econ guy, but Lewis is great at explaining complex financial stuff in every day English and is pretty entertaining at the same time.

I am also reading Flash Boys and like it so far. The Big Short is really good too. If you haven't read it yet I would also recommend "Boomerang," also by Lewis. It's basically the international version of the Big Short.

 

[tjcmd]

Meh, if you don't like the market, don't participate in it, nobody is forced to. Complaining about it comes off like someone going to Vegas and complaining that the electronic poker machine is rigged. No shit. It is legalized gambling, that is all that it is. It is a risk, and everyone knows that going in; some people do well and others do not. If you don't like that reality, don't play the game. Go farm some peanuts or something.

Wish we had the same opportunity to escape the greedy selfish jerks who manage to lie, cheat and steal their way into the government.

 

[cville deac]

I am also reading Flash Boys and like it so far. The Big Short is really good too. If you haven't read it yet I would also recommend "Boomerang," also by Lewis. It's basically the international version of the Big Short.

Thanks - will look for it.

 

[BillBrasky]

Wish we had the same opportunity to escape the greedy selfish jerks who manage to lie, cheat and steal their way into the government.

You mean the greedy selfish jerks who are financed by Wall Street?

 

[Deacon923]

The ish that Lewis describes in Boomerang, especially what was going on in Greece pre-crash, is amazing. The chapter on Ireland is pretty good too, and funny in a black humor sort of way.

 

[Biff Tannen]

No. Iceland was the best. The part about Germany was incredible though. I think I liked the California section best of all.

 

[2&2 Slider To Leyritz]

I'm not sure were you can go to avoid participating in the US economy.

HFTs are not affecting the vast, vast majority of participants in the US economy. They are gaming a system that's whole purpose is to reward those who game it the best. Kudos to them.

 

[tjcmd]

You mean the greedy selfish jerks who are financed by Wall Street?

Yes. They are in cahoots with one another.

 

[ONW]

Also.... What if you polled the general population and asked if they'd do something illegal for $10mm if they knew they'd never be caught?

If they got fined $1MM and didn't go to jail, probably 99% of Americans.

 

[knowell]

If they got fined $1MM and didn't go to jail, probably 99% of Americans.

So as a group wall street types are way more honest than the general population.

 

[PhDeac]

So as a group wall street types are way more honest than the general population.

No. Only 25% of them admitted it.

 

[Deacon923]

But wait! There's more!

http://www.theatlantic.com/business/archive/2015/05/bankers-greedy-or-foolish/393815/

In a combination of horrifying and entertaining, the settlement agreements provide many excerpts from conversations that show bankers who knew what they were doing was improper but enjoyed it anyway. In a series of chummy chats, they gleefully collude on setting exchange rates, help each other out at the expense of customers and, more broadly, violate the public’s trust in markets as fair exchanges. They also appear shockingly cavalier about creating a digital trail as they manipulate world markets. If it’s not a fair representation of the finance industry generally, it is certainly an excellent representation of the worst stereotypes about the industry.

 

[ONW]

So as a group wall street types are way more honest than the general population.

In general, Americans are greedy, myself included. Wall Street types just have the opportunity and means to get away with it.

 

[JuiceCrewAllStar]

Capitalism is great, it's the best engine the world has ever produced to improve living standards and build national wealth. But it has to be constrained and controlled by a reasonable system of law enforcement to prevent abuse of inefficient markets for the sole benefit of those with power, wealth, or political connections.

Capitalism has also been the death of millions of people, an environmental disaster, and ripped apart the cultural fabric of most every nation.

 

[wfumike02]

HFTs are not affecting the vast, vast majority of participants in the US economy. They are gaming a system that's whole purpose is to reward those who game it the best. Kudos to them.

Bullshit. They're gaming large investors like pension funds.

 

[2&2 Slider To Leyritz]

Not really. The pension funds are paying what they believe is the fair value for the stock share. If they cared about the fraction of the cent, then they can set their price that fraction lower.