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And Wow: Fed's Hoenig Says United States Has "Deeply Undermined Free-Market Capitalism"

Tyler Durden's picture





 

The Fed mutiny has arrived:

  • HOENIG SAYS U.S. HAS `DEEPLY' UNDERMINED FREE-MARKET CAPITALISM
  • HOENIG WARNS OF ESCALATING SERIES OF CRISES WITH RISING COSTS
  • HOENIG: LARGE FINANCIAL FIRMS CAN EXPECT BAILOUTS IN FUTURE
  • HOENIG SAYS BIG FINANCIAL FIRMS MUST NOT HOLD ECONOMY `HOSTAGE'
  • HOENIG: LARGE FIRMS WERE `GAMING' CAPITAL STANDARDS PRE-CRISIS
  • HOENIG:BIG FIRMS `HAVE SIGNIFICANT INCENTIVES' TO INCREASE RISK
  • HOENIG: TOO-BIG-TO-FAIL FIRMS POSE `GREATEST RISK' TO ECONOMY
  • HOENIG SAYS BIG FINANCIAL FIRMS ENJOY `HUGE' FUNDING ADVANTAGE

And the last one:

  • FED'S HOENIG SAYS `HISTORY IS ON MY SIDE'

Step. away. from. the. bathtub. Tom.

In other news, someone at the top finally tells the truth about this shitshow of a banana republic.

 


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Wed, 02/23/2011 - 13:34 | Link to Comment max2205
max2205's picture

2 years too late

Wed, 02/23/2011 - 13:41 | Link to Comment asdasmos
asdasmos's picture

INSIDE JOB - Covers this point as well

 

TRAILER: http://www.youtube.com/watch?v=FzrBurlJUNk

 

Takes a closer look at what brought about the financial meltdown.

 - http://www.imdb.com/title/tt1645089/

 - http://www.sonyclassics.com/insidejob/

 

Inside Job download links:

 

http://www.megaupload.com/?d=5WKDONR5&w=631&h=392

http://www.megaupload.com/?d=PG45KU95&w=631&h=392

http://www.megaupload.com/?d=2KBJDUX4&w=631&h=392

(http://www.icefilms.info/ip.php?v=126424&) Movie Site

 

Wait 45 secs then download it. I provided a couple in case it gets taken down. You only need to download one.

 

Awards & Nominations:

 

Winner          Directors Guild Award               Outstanding Achievement in Documentary
Winner          New York Film Critic Circle         Best Documentary
Winner          National Board of Review          Top 5 Documentaries of the Year
Winner          Writers Guild Awards                Best Documentary Screenplay

Nominated     Academy Awards - Oscar           Best Documentary

Nominated     Critics' Choice Award                Best Documentary
Nominated     Producers Guild Award              Best Documentary
Nominated     American Cinema Editors Award Best Documentary Edited
Nominated     COFCA Award                          Best Documentary
Nominated     CFCA Award                            Best Documentary
Nominated     Gotham Awards                       Best Documentary
Nominated     Sierra Award                           Best Documentary
Nominated     OFCS Award                           Best Documentary
Nominated     PFCS Award                            Best Documentary
Nominated     SDFCS Award                          Best Documentary
Nominated     Satellite Award                       Best Motion Picture, Documentary
Nominated     WAFCA Award                         Best Documentary

Wed, 02/23/2011 - 13:58 | Link to Comment vast-dom
vast-dom's picture

hope you don't mind, just wanted to post a faster link for the doc Inside Job:

http://www.fileserve.com/file/CC6zaUf/defaced-insidejob-xvid.avi

Wed, 02/23/2011 - 14:11 | Link to Comment VegasBD
VegasBD's picture

thx

Wed, 02/23/2011 - 14:59 | Link to Comment SilverBaron
SilverBaron's picture

I saw it in the movie theatre.  OK film for someone who knows nothing about the cause of the meltdown, but nothing new to readers of this site.

Wed, 02/23/2011 - 16:31 | Link to Comment equity_momo
equity_momo's picture

I thought it should be listed as  "comedy" rather than a documentary. It was very enjoyable and for the uninitiated would have been thought provoking but nothing new apart from the hilarious interviews with Establishment dummies. Perhaps Hoenig has just seen it.

Wed, 02/23/2011 - 23:11 | Link to Comment MayIMommaDogFac...
MayIMommaDogFace2theBananaPatch's picture

Napoleon Dynamite plays the part of a weasly former Fed-Governor.

The performance is totally belivable with Dynamite playing the character, dodging and squirming like a child in the principal's office.

You almost think it is really Fred Mishkin.

Wed, 02/23/2011 - 13:58 | Link to Comment flacon
flacon's picture

I've been wanting to see this film for months! I'll download it at home this evening. Thanks for providing the links. 

Wed, 02/23/2011 - 14:04 | Link to Comment Wynn
Wynn's picture

I was dissapointed for the most part. Old news. Saw it all happen in real time at ZH.

Wed, 02/23/2011 - 14:27 | Link to Comment tellsometruth
tellsometruth's picture

I have not seen yet but heard/suspect the same, but wish it was streaming on netfux to wake up apathetic masses

Wed, 02/23/2011 - 14:36 | Link to Comment Ricky Bobby
Ricky Bobby's picture

+10

Wed, 02/23/2011 - 15:03 | Link to Comment PuppetRepubl1c
PuppetRepubl1c's picture

@ Wynn

 

agreed it is old news (and years late) but at least some people are paying attention.

 

I really enjoyed the parts of the movie where they interviewed Harvard/Columbia business professors and asked them flat out "Should the people who author such papers advocating massive banking deregulation have to disclose that they are being paid hundreds of thousands of dollars to shill for xyx industry?"

 

I was amused when the professors all said no, but when confronted with the example of doctors authoring papers advocating for certain pharmaceutical products they imediately back tracked and said "that is completely different".  It was a great gotcha moment, like a deer caught in the fucking headlights.  The movie was worth watching for that scene alone.

Wed, 02/23/2011 - 15:39 | Link to Comment asdasmos
asdasmos's picture

+1

Wed, 02/23/2011 - 23:17 | Link to Comment MayIMommaDogFac...
MayIMommaDogFace2theBananaPatch's picture

I thought what the arrogant bastard said was something like:

while there is no formal policy or rule, etc., he simply could not imagine someone in his profession choosing to NOT reveal such a conflict of interest.

Laughing 'til it hurts...

Thu, 02/24/2011 - 09:52 | Link to Comment camoes
camoes's picture

+1000

Wed, 02/23/2011 - 14:02 | Link to Comment Fred Hayek
Fred Hayek's picture

It's not a bad movie but "deregulation" is practically the mantra of evil according to the film even in instances when it makes it clear that the problem was that existing regulations weren't enforced.  I remember there being 6 or 8 instances where I cringed or rolled my eyes because of this. 

Wed, 02/23/2011 - 14:04 | Link to Comment RmcAZ
RmcAZ's picture

+++ Just watched this last night. Not enough blame on the government.

Wed, 02/23/2011 - 14:32 | Link to Comment tellsometruth
tellsometruth's picture

not very surprising to me... left vs right still very alive (anyone see the bloomberg debate on 2 party system "making america ungovernable?"

I don't know how people can think that corporations can be evil and governments (daily shown on msm) can be around the world, but "not ours"  

 

Wed, 02/23/2011 - 14:10 | Link to Comment I am a Man I am...
I am a Man I am Forty's picture

the Fed and banks have a monopoly on money and should be strongly regulated, so should insurance companies

Wed, 02/23/2011 - 14:12 | Link to Comment VegasBD
VegasBD's picture

or just remove the monopoly...

Wed, 02/23/2011 - 14:17 | Link to Comment ronin12
ronin12's picture

+1913

Wed, 02/23/2011 - 15:40 | Link to Comment I am a Man I am...
I am a Man I am Forty's picture

my comment was step 1, step 2 is to allow competing currencies

Wed, 02/23/2011 - 20:24 | Link to Comment faustian bargain
faustian bargain's picture

Which, if you think about it, is de-regulation.

The Fed and the banks don't need to be 'regulated', they need to be cut loose from their fascist attachment to government and allowed to fail in the market, as they will once Big Brother stops protecting them.

Wed, 02/23/2011 - 14:15 | Link to Comment asdasmos
asdasmos's picture

@Fred Hayek

Glass–Steagall Act?
Wed, 02/23/2011 - 14:56 | Link to Comment PuppetRepubl1c
PuppetRepubl1c's picture

@Fred Hayek

 

The movie does mention "deregulation" as a bad thing, but with ample evidence to back up the specific regulations they are talking about.  I can see how this would be a confusing subject for many people.  Because of Fox News most people who watch tv 8 hrs a day have been conditioned to believe "deregulation" is always positive.  Of course any rational person can can see that yes in some cases it is a good thing and in some cases deruglation is a blatant takeover of the government by moneyed interests (Goldman Sachs).

 

The movie specifically blames much of the problems on the repeal of Glass-Steagall which is 100% true and correct in every way.

Wed, 02/23/2011 - 15:01 | Link to Comment asdasmos
asdasmos's picture

+1

Wed, 02/23/2011 - 16:36 | Link to Comment AnonymousAnarchist
AnonymousAnarchist's picture

Regulation isn't bad, government regulation is bad.

The irony in Hoenig's statement is that, if there is a central bank, there is no free market. Either he has a different definition of "free market" or his comment is about 100 years too late.

Wed, 02/23/2011 - 21:37 | Link to Comment PuppetRepubl1c
PuppetRepubl1c's picture

I agree with your statement, but who is going to regulate the banks if not the government?  Self regulation?  Laughable, especially since CEO's could care less about the solvency of the institutions they leave behind as long as they get large bonus checks up front.

In an ideal world the "market" would regulate banks but in practice this doesn't work as well one might hope.  People demand banks carry deposit insurance, yet the only institution willing (and gullible enough) to insure bank deposits is the federal government.  Because of the ease with which bankers can defraud auditors/regulators no sane private entity would agree to insure them, nor would they actually have the reserves to make good on the insurance if they were willing to.

I'm honestly not sure there is a good way to regulate banks as long as there is fiat Ponzi money creation.  I think this was an inevitable trian wreck written in the cards ever since 1913.

Wed, 02/23/2011 - 23:57 | Link to Comment asdasmos
asdasmos's picture

Read harry markopolos' book, 'No One Would Listen'... he gives a great idea on how to regulate...

 

incentivize it, whistleblowers and prosecutors receive a percentage of the fraud collected on top of their wage......

Wed, 02/23/2011 - 16:38 | Link to Comment InnerG
InnerG's picture

I just started watching this and had to stop it 15 minutes in for this very point:

"Reagan started a 30 year financial deregulation period and deregulated savings and loan allowing them to make risky investments with depositors money - within 10 years this costs taxpayers 124 billion dollars."

 

stupid assed smear tactic

the problem is not deregulation, it is the government bailing out those failures which is the primary inducing cause of people's blind faith with having their money within corrupt institutions

 

is this "documentary" really worth continuing?

smells like crap-oh-lah to me

Wed, 02/23/2011 - 21:45 | Link to Comment PuppetRepubl1c
PuppetRepubl1c's picture

Apparently you are also unaware that Reagan raised taxes, sold arms illegally to Iran, and supported amnesty for millions of illegal Mexicans.  Despite these often omitted shortcomings (cough.... fox news) i still think he was a good guy, but please don't deify him it makes you look ridiculous.  Reagan was a good president but not perfect, one of the things he, and every president since him, has gotten wrong is to trust economists/bankers that "nothing will go wrong" if we remove all of the sane laws that were put in place following the great depression.  After all those guys were old and cranky, they don't understand how smart the new generation of banker is, nothing could possibly ever go wrong.  

 

Yet every time we repeal one of these barriers the system becomes even more risky and entangled.  Financial deregulation in this fashion was a complete and total disaster, it did not lead to economic wealth, only bubble creation in which a few profit and the many suffer.  The separation of investment banking from deposit banking was completely sane and reasonable, we should have never fucked with it.  It is not even a left vs right issue, it is a sanity vs greed issue.

 

Also, nothing ever changes.  Banks are always looking for more ways to GAMBLE with depositor money (1 because thats how they make money & 2 there is an established precedent that they will get bailed out if they fail).  The reality is only fools would ever invest their money in a bank if there wasn't some form of FDIC insurance (a result of the great depression).  Thus the rub.  If you want to have bank deposits insured you have to regulate them, otherwise people would just buy precious metals and forget the whole thing.

 

Because lobbyists from the banking industry have infected every single crack of our government no party (Republican or Democrat) is immune to their bribery.  Thus this cycle keeps repeating: Banks lobby for 1000x 1 leverage -> regulators initiallly say maybe thats a bad idea (but can't remember why because they have no practical work experience and failed upwards in life due to nepotism) -> banks give said congressmen/regulators hundreds of thousands of dollars in campaign contributions -> regulators look the other way -> banks make massive short term profits due to lowered reserve requirements - > system crashes and ordinary citizens are screwed 1st by the reckless behavior of the regulators/banksters and then screwed again by being forced to bail out said banks.

 

wait 5-7 years, Rinse and Repeat

 

 

 

Thu, 02/24/2011 - 10:55 | Link to Comment InnerG
InnerG's picture

 

uh where in my post did you get that I was deifying or even defending Reagan? You apparently are unaware of what I meant since I wasn't defending Reagan one bit and u have fallen for the 'documentaries' clap trap.

President Reagan = the government . . . right?

Well when I said the government is the problem, I was referring to Reagan and beyond; the whole pathetic TBTF scheme

 

I can tell you where in your post YOU defend the government:

In any/every insidious suggestion that more regulation = good and needed while less regulation = bad and disaster you have fallen prey to the ludicrous idea that more government is the answer

 

Surely you can now see how the smear/slant works? It's devastating on feeble minds

 

p.s. like many presidents, Reagan was only good when he was campaigning which are merely words

p.s.s. I still haven't touched the rest of this 'documentary' and still don't see any reason to if more regulation/government institutions is the answer. Howabout just some high level accountability through regulation and supreme laws already out there first . .

Thu, 02/24/2011 - 14:25 | Link to Comment PuppetRepubl1c
PuppetRepubl1c's picture

Nowhere in my post did i say we need "more government".  Separating investment banks from deposit banking has nothing to do with creating "more government" (which sounds suspiciously like a typical republican straw man argument).  "Regulating" banks means simply not allowing investment banks to merge/acquire deposit banks/insurance companies so they can leverage their gambling with insured deposits (which always leads to a government bailout).  The answer is so simple it is shocking.  Of course this will never happen because the mega banks have become exponentially larger ever since these regulations were done away with.  

 

Perhaps i misunderstood your first statement, but looking at your original text it still seems like you were saying the documentary was a smear tactic against Reagan.  You can understand why i came to this conclusion as this is what the republicans say every single day to shield themselves from criticism for being in bed with the banking industry.  I am glad to hear this is not what you meant.  

 

Also, if you recoil every time you hear the word "regulation" and in your mind translate that to mean "more government" there is no hope in finding a solution.  You can easily regulate the banking industry without creating new government departments.  You just need to have a SEC/justice department with balls who will go after these crooks and put laws on the books that prevent this type of systemic risk pollution from spreading.  Of course the reason this hasn't happened is precisely because whenever someone says we need to do something about the banking system (separating investment banking from deposit baning) the republicans instantly react with the knee jerk reaction of "no more government!".  Thus nothing ever gets solved.  

 

Thu, 02/24/2011 - 10:58 | Link to Comment InnerG
InnerG's picture

also, I don't want bank deposits insured as that is where the hoodwink comes in

 

believing another man or institution is always there to take care of you or your money is naive at best

 

"The Best Way To Rob a Bank Is To Own One"

Wed, 02/23/2011 - 13:45 | Link to Comment Cursive
Cursive's picture

This just lends more credence to TPTB/TBTF financial terrorism plot.  The timing of this couldn't be more convenient to signal the turn.  Only thing missing was this:

 

HOENING:  THE TOP IS IN

HOENING:  WE'RE IN THE MIDDLE OF THE GREATEST DEPRESSION

HOENING:  I'M A PUPPET FOR THE BANKING CLASS

HOENING:  BERNANKE DREW THE SHORT STRAW

HOENING:  THERE BUT FOR THE GRACE OF GOD GO I

Wed, 02/23/2011 - 13:50 | Link to Comment subqtaneous
subqtaneous's picture

no kidding.  nothing like the stink of a groundswell of revolt to get you dancin' the Charleston.

 

Wed, 02/23/2011 - 13:55 | Link to Comment SWRichmond
SWRichmond's picture

Perhaps they are beginning to choose sides.

Wed, 02/23/2011 - 14:17 | Link to Comment serotonindumptruck
serotonindumptruck's picture

Yeah, as if such a decision would save them from their fate at the end of a rope.

Wed, 02/23/2011 - 14:41 | Link to Comment Ned Zeppelin
Ned Zeppelin's picture

+ 1, Beautifully said.

Wed, 02/23/2011 - 16:40 | Link to Comment Miles Kendig
Miles Kendig's picture

As the Flappers put the fluffer to shame

Wed, 02/23/2011 - 13:59 | Link to Comment Arch Duke Ferdinand
Arch Duke Ferdinand's picture

""HOENING:  THE TOP IS IN

HOENING:  WE'RE IN THE MIDDLE OF THE GREATEST DEPRESSION

HOENING:  I'M A PUPPET FOR THE BANKING CLASS

HOENING:  BERNANKE DREW THE SHORT STRAW

HOENING:  THERE BUT FOR THE GRACE OF GOD GO I""

 

Vancouver BC...# 1 world's safest and most liveable city

Canada's four Western Provinces have it all...Food, Water, Oil, Minerals, Timber AND ONLY 12.5 MILLION CITIZENS...led by gateway city Vancouver BC....Canada's/North America's Geneva of Switzerland...

http://seenoevilspeaknoevilhearnoevil.blogspot.com/2011/02/vancouver-bcworlds-most-liveable-cities.html

Wed, 02/23/2011 - 14:09 | Link to Comment ColonelCooper
ColonelCooper's picture

Real Estate market slow up there, huh?

Douche.

Junk.

Wed, 02/23/2011 - 14:16 | Link to Comment Arch Duke Ferdinand
Arch Duke Ferdinand's picture

Douche?   Junk?

...hmmmmm....Oil, Gold and Silver will be sold for FOOOD you fool.

Within a month or less.

...Where is the food and water?

Wed, 02/23/2011 - 15:36 | Link to Comment snowball777
snowball777's picture

My garage.

Wed, 02/23/2011 - 19:33 | Link to Comment ColonelCooper
ColonelCooper's picture

If you live there, why would you want to invite the Golden Fucking Horde? Or do you sell real estate there?  I could care less about your comment other than you paste it verbatim on every single thread.

Douche

Spammer

Junk

Wed, 02/23/2011 - 19:36 | Link to Comment ColonelCooper
ColonelCooper's picture

And believe me, I won't be spending my gold or silver on food for many years,  Fool.

At least I'm not stupid enough to invite the whole damned world to my backyard.

Wed, 02/23/2011 - 16:15 | Link to Comment anarchitect
anarchitect's picture

Real estate market is FAR from slow. One of the most overpriced cities in the world, with houses at 9 times median annual income. Google "crack shack or mansion" and play the game, trying to distinguish the crack shacks from the Vancouver mansions, that look like garages, listed for $1M.

Also populated by the same sort of lefty imbeciles that infest California. All the weirdos and outcasts moving progressively West until they can go no further because of the ocean.

And at risk for a Big One, just like California, with serious liquefaction because much of the area is built on a river delta.

Pass.

Wed, 02/23/2011 - 17:28 | Link to Comment ivana
ivana's picture

No doubt Canada is great place. Have friends there and they report really good quality of life.

Only problem is that you are really close to powerz and have  a lot of resources.

Bad news is that Canada is already acquired by powerz and your quality of life can only go down.

Just check USD-CAD & USD-MEXPESO - you are in new AMERO fiat system man.

Good luck

Wed, 02/23/2011 - 14:01 | Link to Comment Bananamerican
Bananamerican's picture

a junk?

Does Hoening read ZH?

Wed, 02/23/2011 - 14:05 | Link to Comment blindfaith
blindfaith's picture

no, but Timmy and Ben do.  That is how they know how to stay ahead of the anger and how to dodge it.

Wed, 02/23/2011 - 13:45 | Link to Comment Cindy_Dies_In_T...
Cindy_Dies_In_The_End's picture

gee, whada we say to Hoenig:

 

"Thanks Captain Obvious?"

 

My 4 year old could tell people this

Wed, 02/23/2011 - 14:36 | Link to Comment AnAnonymous
AnAnonymous's picture

Is your 4 year old ready to work for candy bars or toys?

Would cost less to hire than a guy like Hoening who thinks he deserves every single cent he earns.

Wed, 02/23/2011 - 13:46 | Link to Comment SparkyvonBellagio
SparkyvonBellagio's picture

12/21/2012 can't arrive soon enough

 

 

 

Wed, 02/23/2011 - 13:51 | Link to Comment lynnybee
lynnybee's picture

the reason i read ZEROHEDGE is to learn.  consider me dumb;   what is  12 / 21 / 12  ????

Wed, 02/23/2011 - 13:55 | Link to Comment potatomafia
potatomafia's picture

The end of the mayan calander..  what does it mean?? 

Wild speculation from the end of the world, to nothing but the calender starting over, and everything in between!

Wed, 02/23/2011 - 13:55 | Link to Comment Cindy_Dies_In_T...
Cindy_Dies_In_The_End's picture

More 2012 drivel called bullshit. Nevermind. Same thing as Y2K

Wed, 02/23/2011 - 14:47 | Link to Comment Dr_Dazed
Dr_Dazed's picture

At least the Y2K stuff has some basis in reality - I'll not be counting much on Jaguar Gods myself.

Wed, 02/23/2011 - 13:56 | Link to Comment Alex De Large
Alex De Large's picture

i believe that's the date the Mayan calender (and the rest of the world?) ends...

Wed, 02/23/2011 - 13:58 | Link to Comment Zedge Hero
Zedge Hero's picture

Some people think the end of the word since the mayan calender ends on that date.  All decent scholars dismiss such BS. 

Wed, 02/23/2011 - 14:22 | Link to Comment serotonindumptruck
serotonindumptruck's picture

"All decent scholars dismiss such BS."

With good reason.

Just imagine the pandemonium that would result if some of the more frightening scenarios were scientifically validated.

 

Wed, 02/23/2011 - 14:08 | Link to Comment savagegoose
savagegoose's picture

same reason ms dos only adressed 640k of ram.

or digital clocks only went to the year 2000

when they where built they figured no one would need anything to go past that size. dat  year etc

Wed, 02/23/2011 - 14:10 | Link to Comment JohnG
JohnG's picture

Mayan calendar......hogwash.

It's as far as the Mayan numbering system counted, that's all.

The shitshow will start long before that date.

Wed, 02/23/2011 - 14:26 | Link to Comment NotApplicable
NotApplicable's picture

Hogwash, or not, never underestimate the power of a self-fulfilling prophecy.

Wed, 02/23/2011 - 14:11 | Link to Comment HoofHearted
HoofHearted's picture

It means a lot of people are going to be really disappointed when they have to get up and go to work on 12/22/12.

Remember the Hale-Bopp comet people? The ones that castrated themselves? Me too. Count me out of this end of the world as we know it stuff. Prepare as if you'll still have to eat in January of 2013.

Wed, 02/23/2011 - 14:24 | Link to Comment 10kby2k
10kby2k's picture

its 4 shopping days til christmas

Wed, 02/23/2011 - 15:24 | Link to Comment SparkyvonBellagio
SparkyvonBellagio's picture

LOL - Yes panic buying by some lazy bastards!

 

Great response. 

 

 

Cheers

Thu, 02/24/2011 - 03:20 | Link to Comment mophead
mophead's picture

Don't forget, Time Wave Zero by Terence Mckenna. It also ends exactly on: 12-21-2012.

http://www.youtube.com/watch?v=faBd_0eyMFw

Time Wave Zero is based on the thousand-year-old iChing fortune telling system by the Chinese. Terence Mckenna mapped it and turned it into a computer program that predicts novelty (change). In 12-21-2012 the graph goes off the chart into infinity. Terence speculated that perhaps we will discover time travel or time will cease to exist.

Wed, 02/23/2011 - 14:27 | Link to Comment 10kby2k
10kby2k's picture

oops, hit save

Wed, 02/23/2011 - 14:43 | Link to Comment OldPhart
OldPhart's picture

Is there some sort of link to see where these are coming from?

Wed, 02/23/2011 - 16:14 | Link to Comment Hard1
Hard1's picture

Now that he is not a voting member of the Fucking Opium Makers Committee (FOMC), he can speak his mind...wonder if he will resign in the next couple of months!

Wed, 02/23/2011 - 18:12 | Link to Comment mkkby
mkkby's picture

This proves 2 things. 

1 - That it's truely the NY banks and the NY fed vs the whole world. 

2 - Obama and Bush are both corrupt.  Obama has had Volcker advising him since the beginning, and both of them have had access to truth tellers like Hoenig.  Yet they nominated bankster shills Timmy and Benny.

Wed, 02/23/2011 - 13:35 | Link to Comment homersimpson
homersimpson's picture

I'd be more impressed he found a way to kick Banana Ben's arse and take his role as Fed chief.

Wed, 02/23/2011 - 16:42 | Link to Comment Miles Kendig
Miles Kendig's picture

And then fire everyone there, including himself.

Wed, 02/23/2011 - 13:35 | Link to Comment LawsofPhysics
LawsofPhysics's picture

30+ years too late, maybe more.

Wed, 02/23/2011 - 13:35 | Link to Comment Altan311
Altan311's picture

NOW we starting hearing this?

Wed, 02/23/2011 - 13:36 | Link to Comment Ragnarok
Ragnarok's picture

We are possibly being set up, Bernanke will be asked to resign and Hoenig take his place.  Nothing will change, but we will have our sacrificial lamb.

Wed, 02/23/2011 - 13:36 | Link to Comment cougar_w
cougar_w's picture

Hoenig. The next Fed Chair. But will he take the job? My guess is he will not.

Wed, 02/23/2011 - 13:55 | Link to Comment Id fight Gandhi
Id fight Gandhi's picture

Is he one of the chosen ones? They only get that job.

Wed, 02/23/2011 - 14:06 | Link to Comment Fred Hayek
Fred Hayek's picture

Was William Martin, the Fed chief from 1950 to 1970 jewish?  I didn't think so.  I don't know about Arthur Burns who followed him.

Wed, 02/23/2011 - 15:04 | Link to Comment Id fight Gandhi
Id fight Gandhi's picture

Funny timing, 1971 we lost the gold standard....

Burns was chosen, so was volcker.

Thats what 4 in a row? There was a brief 1 year guy.

Wed, 02/23/2011 - 14:29 | Link to Comment pods
pods's picture

FED chief is merely a puppet.  Now the ones who write the list for possible FED chiefs...

pods

Wed, 02/23/2011 - 13:56 | Link to Comment I Am The Unknow...
I Am The Unknown Comic's picture

That is the BEST theory I have heard yet.  I agree.  Why else would they let him live?  Why else would they let him speak and his words be reported?

Is Hoenig the new Obama?  With a name like "Hoe - Nig"  I think the answer is obvious...

I believe it was David Byrne of the Talking Heads who said "names make all the difference in the world"  (he also said "in the future, women will have tits on their backs [think about it....makes more sense doesn't it?])

names like Bernie "Made - Off" with my money

 

Wed, 02/23/2011 - 14:03 | Link to Comment treasurefish
treasurefish's picture

LOL!!!! Thanks for the cheer after my 10% slide in stocks.  Calls are almost worthless.

Wed, 02/23/2011 - 14:16 | Link to Comment I Am The Unknow...
I Am The Unknown Comic's picture

I'm here all week.  2 drink minimum.  Don't forget to tip your waitress!

Wed, 02/23/2011 - 13:59 | Link to Comment Vagabond
Vagabond's picture

I'm still hoping there is no next Fed chair.  After the big crash it is time to end that shit show.

Thu, 02/24/2011 - 01:13 | Link to Comment Pee Wee
Pee Wee's picture

Excellent comment.

Wed, 02/23/2011 - 13:37 | Link to Comment tellsometruth
tellsometruth's picture

we need to take action more than just our comments...peacefully enlighten... something shit...

How about putting up a sign on main st where ever your live "Main st. is still pissed about Wall St./Government CORRUPTION"

this is just an idea... i know the forum will have better ones...

what you think

Wed, 02/23/2011 - 13:48 | Link to Comment Cindy_Dies_In_T...
Cindy_Dies_In_The_End's picture

Eventually Huffpo or some other organization will tell everyone to take a week or two off work and don't buy anything. Starve the Beast.

 

My other ideas would include "shun ins" peaceful protest against those who broke the system. No service, or soup, for you.

Wed, 02/23/2011 - 13:52 | Link to Comment Strom
Strom's picture

Something similar is happening at a cafe near the airport in Seattle. The owner travels a lot and recognizes the TSA agents when they come in. He refuses to serve them and asks them to leave.

Wed, 02/23/2011 - 14:00 | Link to Comment I Am The Unknow...
I Am The Unknown Comic's picture

Please ask him to insist they undergoe a full body cavity strip search before being allowed to dine.  If they refuse, he should immediately call the police and retain them in the back room until the cops arrive.  He should also call DHS and the FBI to report this "suspicious activity" because the TSA Agent could be probing his restaurant for a future "terrist" attack....

Wed, 02/23/2011 - 14:07 | Link to Comment Strom
Wed, 02/23/2011 - 13:54 | Link to Comment tellsometruth
tellsometruth's picture

why should it be some other organization?  I have been coming here for about 2 years now...I have seen this forum be well ahead of the curve too many times to count

Wed, 02/23/2011 - 16:45 | Link to Comment topshelfstuff
topshelfstuff's picture

In yesterday's top lined Message, the one with the video of Mike and Max Keiser, Keiser was pushing a move for people to cease making mortgage payments. He suggested setting a date and having perhaps Alex Jones promote it.

As for this bit from Hoenig, there is one line that I'm wondering about. This one, and the same point that Paulson and now Geithner kept demanding "More Powers". They want the ability to "rescue", "bail-out", hand $Billion to w/o question, to ANY Financial, including Hedge Funds. And we know there have been many HF Fronts put in place, somebody had to take the bad-end of Trades that sure losers. Besides, why would taxpayer money bail-out any HFund

  • HOENIG: LARGE FINANCIAL FIRMS CAN EXPECT BAILOUTS IN FUTURE
  • ==================================================
  • [[[Why say the above, especially when he added these ]]]
  • HOENIG SAYS BIG FINANCIAL FIRMS MUST NOT HOLD ECONOMY `HOSTAGE'
  • HOENIG: TOO-BIG-TO-FAIL FIRMS POSE `GREATEST RISK' TO ECONOMY
  • HOENIG: LARGE FIRMS WERE `GAMING' CAPITAL STANDARDS PRE-CRISIS
  • Wed, 02/23/2011 - 17:42 | Link to Comment CH1
    CH1's picture

    I like the shunning concept: No AC repair for central banks, no uniform delivery, "find another take-out place," and so on.

    Not much nasty stuff is really required, just a withdrawal of cooperation.

    Wed, 02/23/2011 - 14:02 | Link to Comment blindfaith
    blindfaith's picture

    what do I think...I think no one on main street really cares yet.  I think we are a nation that likes to take it up the ass by both business and government and are to damn pathetic to do anything about it.

    BY GOD, we martched on Washington many times to end the Vietnam War.  What has happen to the soul and sprit of Americans.  Or, have I, in my dumb-ass old age, missed the point.

     

    I could cry when I read such pathetic political crap as this man wants to hid behind like some Oracle from Delphi. What, have you been on opium for the last 4 years?   Now, he can sit behind his great proclamation and say "I TOLD YOU SO!".  Go fuch yourself, Mr. Hoening, your just another traitor in a sea of thousands we have been blinded by, and waiting the be the next false hero.

    Wed, 02/23/2011 - 14:05 | Link to Comment treasurefish
    treasurefish's picture

    You old farts also got shot up at Kent State and went to go live in hippy communes. Then, you got bored smoking pot all day, and became financial consultants supporting the Bernank.

    Wed, 02/23/2011 - 14:27 | Link to Comment blindfaith
    blindfaith's picture

    Is that the best you can do?  Attack me? 

    How are those bank stocks in your portfilio doing?

    And, what contribution to the world have you made claim to?

    Your condescending ignorance must be a big burden, especially at home, at play, and work.

    Wed, 02/23/2011 - 14:39 | Link to Comment tellsometruth
    tellsometruth's picture

    Most on Main st get angry when you confront them with the ideas/truths, I agree, but then they ask "so what are you/can we do about it?"

    Wed, 02/23/2011 - 17:47 | Link to Comment CH1
    CH1's picture

    Yup, the assumption of powerlessness... saves them from having to face anything more threatening that their team losing a playoff game.

    Plug-in the iPod, brain off, don't worry, the system will continue as it always has. Ho hum..... splat.

    Thu, 02/24/2011 - 01:12 | Link to Comment StychoKiller
    StychoKiller's picture

    Short answer:  Buy some "wealth insurance"...Gold & Silver!

    Wed, 02/23/2011 - 16:09 | Link to Comment ToddGak
    ToddGak's picture

    People marched on Washington to end the war, but only because there was the threat of being drafted, and getting your ass shot off by the Viet Cong.  Nothing short of fear of death, or at least not being able to watch TV, would get people off their asses in large numbers these days.

    Wed, 02/23/2011 - 17:54 | Link to Comment CH1
    CH1's picture

    Well, it was a lot more complicated than that.

    And this is NOT to defend the boomers. I'd love, just once, to hear one of them acknowledge that the commies butchered almost 3 million people after the US pulled out.

    And forget war-monger comments - not everything is either/or, and telling the truth about this does not automatically make someone a right-wing, neo-con war lover.

    Wed, 02/23/2011 - 17:58 | Link to Comment CH1
    CH1's picture

    Todd, that last part was not directed toward you, sorry if it seemed that way; it was a general comment, probably revealing my scars. :)

    Wed, 02/23/2011 - 23:41 | Link to Comment bluebare
    bluebare's picture

    Complicated, yes.  I was at The Wall when it was dedicated.  With profound respect of those who gave their lives, I'll leave it there.

    Thu, 02/24/2011 - 01:13 | Link to Comment StychoKiller
    StychoKiller's picture

    Those 3 million include Cambodia?  Don't think so.

    Wed, 02/23/2011 - 13:36 | Link to Comment SpeakerFTD
    SpeakerFTD's picture

    Bathtub?  Don't you mean hot tub?

    Wed, 02/23/2011 - 13:36 | Link to Comment Caviar Emptor
    Caviar Emptor's picture

    Libya o Libya

    That encyclopidia

    Oh Libya the queen of the crude!

    You can learn a lot from Libya

    Wed, 02/23/2011 - 14:08 | Link to Comment Fred Hayek
    Fred Hayek's picture

    When her oil rigs start re-laxin'

    gibberish comes from the turbo tax man

    Wed, 02/23/2011 - 13:37 | Link to Comment velobabe
    velobabe's picture

    he must be on alzheimer's, bitchez†

    Wed, 02/23/2011 - 14:44 | Link to Comment tellsometruth
    tellsometruth's picture

    like cftc judge George Painter who in the link below becomes another whistleblower

    http://www.bullfax.com/?q=node-judge-cftc-corrupt-wendy-gramm-criminal

     

    Wed, 02/23/2011 - 13:37 | Link to Comment nonclaim
    nonclaim's picture

    HOENIG: LARGE FINANCIAL FIRMS CAN EXPECT BAILOUTS IN FUTURE

    They should expect a mob with pitchforks and torches.

    Wed, 02/23/2011 - 13:42 | Link to Comment unwashedmass
    unwashedmass's picture

     

    THANK YOU MR HOENIG.

    i understand that i am a mere peasant and have a helluva nerve to still have some savings left after the massive transfer to the banks.....

    that said, thank you for your effort to try and save me some of its value...

    a little late, but still.....thank you.

    Wed, 02/23/2011 - 13:44 | Link to Comment FunkyMonkeyBoy
    FunkyMonkeyBoy's picture

    The american docile masses actually take control of their lives and do something against this evil? I don't think so, was that somekind of joke?

    Wed, 02/23/2011 - 14:00 | Link to Comment flattrader
    flattrader's picture

    CAN or CAN'T expect bailouts?

    The progression in the litany of quotes leads me to believe he was misquoted.

    Pehaps JPM is getting ready to blow over the silver short position and he wants to distance himself?

    Wed, 02/23/2011 - 14:13 | Link to Comment SteveNYC
    SteveNYC's picture

    Agree, I interpreted it the same way.

    Wed, 02/23/2011 - 17:03 | Link to Comment Zero Govt
    Zero Govt's picture

    me too because if WS can expect future bailouts then it follows the biggest threat is not WS but the US Govt for transfering the risk from the banking industry to the wider economy and taxpayers to settle that risk gone wrong 

    there is no systemic risk Mr Hoenig if Washington allows WS to go bankrupt.. the problem starts and finishes with WS if capitalisms Grim Reaper is allowed to cut out the cancer from the economy before it spreads wider  

    Wed, 02/23/2011 - 13:38 | Link to Comment Thunder Dome
    Thunder Dome's picture

    Mr. Hoenig I salute you. 

    Wed, 02/23/2011 - 13:42 | Link to Comment karzai_luver
    karzai_luver's picture

    This just in from Daffy the kaddaffy........

     

    Cluster fuck , butchezzzzzz....................

    Wed, 02/23/2011 - 13:54 | Link to Comment Antipodeus
    Antipodeus's picture

    a.k.a. "Comrade Cluster-Bomb" anytime soon, unless someone does a 'Mussolini' on him sometime soon.

    Wed, 02/23/2011 - 14:03 | Link to Comment Vagabond
    Vagabond's picture

    Mr. Hoenig, I am very suspicious of you.

    Wed, 02/23/2011 - 13:41 | Link to Comment Lord Vader
    Lord Vader's picture

    I wonder how soon CNN or MSN or Fox will report this?  Should I wait?

    Wed, 02/23/2011 - 13:44 | Link to Comment unwashedmass
    unwashedmass's picture

    they won't cover it, but......

    i've taken to writing to the different reporters ....

    telling that ....

    hey hey hey, news got out anyway...tell your editors.

    Wed, 02/23/2011 - 13:41 | Link to Comment Quinvarius
    Quinvarius's picture

    So is QE3 on or what?  Daddy needs his medicines!

    Wed, 02/23/2011 - 14:01 | Link to Comment Zedge Hero
    Zedge Hero's picture

    +1 Classic, this time lets add in QE4 with it so we can really get the economy high!

    Wed, 02/23/2011 - 13:41 | Link to Comment critical_mass_soon
    critical_mass_soon's picture

    blackhawk ben is well protected....he along with every other politician in control are just reading from their script, doing that have been told to do, and they know full well what the are doing, but in their sick little mind they they are doing this for their overlord? how else could intelligent rationale human beings ever dream up policies as the current and previous administrations. We know they arent serving the american people, the questoin is who is their overlord? and whaat could possibily be there higher reason for causing all thi pain?

    Wed, 02/23/2011 - 14:08 | Link to Comment cougar_w
    cougar_w's picture

    The Fed are indeed serving their masters at the big banks. As is the entire Obama administration. This is just what they are supposed to do and they don't question it.

    However I'm not convinced they are actually all that smart. Most of what I see happening is knee-jerk bandage approaches. Ben's "I'm 100% certain" comment spoke to a massively inflated ego, too. There are a lot of really dumb people with little actual experience in positions of importance because the actual smart people were too smart to take these jobs, having already learned that the real money is to be taken in the shadows. Set up your puppets, let their egos and idiot megalomania drive them, and skim profits from the turmoil.

    But this too was stupid. The Boyz should have kept their hands on the levers. Volker was their last smart guy inside and he bailed (I still wonder what that was about) and now the insane really are running the assylum. This is NOT bullish for long term profits. In the long, tortured wind-down Plan B will have to be some kind of Feudalism. That constitutes a misstep somewhere, I'm sure of it. None of this passes a reasonable "the revolution is coming along nicely" veracity test. There are some smart guys running around right now doing damage control and failing.

    Hey guys, got some news for you; you fucked up. Just because it looked easy didn't mean you could slack off. And you are going to find out shortly that your little black friend crude oil is not going to be there next time to boost you to the moon. I suggest shooting a few important crazy people quickly, getting some sham elections in place, and liberalizing drug use across the board. Because without some serious bread and circuses your shit is set to seriously come unwired.

    Wed, 02/23/2011 - 14:34 | Link to Comment NotApplicable
    NotApplicable's picture

    They don't have to be smart in order to be successful. They are merely puppets, after all. Their knee-jerk reactions are in response to disasters pre-conceived by others, who are smart enough, and stay in the background (or near it, ala Soros).

    All the puppets require is just enough plausibility in their actions to provide the MSM (more puppets) with a storyline.

    Wed, 02/23/2011 - 14:41 | Link to Comment Jim in MN
    Jim in MN's picture

    We have sham elections already.  Some justice at the top and more drugs would be fine.

    For a few months.  Then we move on to cramming losses back down the banks' throats and dealing with the reality (we overconsumed on cheap credit, etc.).

    Let the chips fall where they may, because they will sink the boat if we don't.

    Wed, 02/23/2011 - 16:19 | Link to Comment Bob
    Bob's picture

    Right on.  And feelin' groovy. 

    Wed, 02/23/2011 - 17:55 | Link to Comment Saxxon
    Saxxon's picture

    A fine and thoughtful post cougar_w.

    Let us consider the timing of Hoenig's stream of compressed nostril vomit onto the bearded clam's wing-tips.

    One major power overthrow and another in the wings; and

    Oil prices spiralling while the rest of the econ tanks - absolutely a deadly combination, much worse than tequila and gin;

    These to me add up to an inevitable tanking and I think the Fed feels its helplessness.  I have always thought an oil shock would be what derailed Bernanke . . . as many have said (here), he can't print oil.

    Now we are looking at compressed margins, lack of demand, further layoffs, more austerity amongst the populace.

    So what is Hoenig up to?  I think he is acting (assigned the role of) Shit Magnet or Shit Deflector.  Not sure which.

    One thing I feel pretty certain of; the Fed and the Administration sees a little further down the road than most of us, and what they see ain't pretty.

     

    Wed, 02/23/2011 - 17:56 | Link to Comment Saxxon
    Saxxon's picture

    A fine and thoughtful post cougar_w.

    Let us consider the timing of Hoenig's stream of compressed nostril vomit onto the bearded clam's wing-tips.

    One major power overthrow and another in the wings; and

    Oil prices spiralling while the rest of the econ tanks - absolutely a deadly combination, much worse than tequila and gin;

    These to me add up to an inevitable tanking and I think the Fed feels its helplessness.  I have always thought an oil shock would be what derailed Bernanke . . . as many have said (here), he can't print oil.

    Now we are looking at compressed margins, lack of demand, further layoffs, more austerity amongst the populace.

    So what is Hoenig up to?  I think he is acting (assigned the role of) Shit Magnet or Shit Deflector.  Not sure which.

    One thing I feel pretty certain of; the Fed and the Administration sees a little further down the road than most of us, and what they see ain't pretty.

     

    Wed, 02/23/2011 - 17:56 | Link to Comment Saxxon
    Saxxon's picture

    A fine and thoughtful post cougar_w.

    Let us consider the timing of Hoenig's stream of compressed nostril vomit onto the bearded clam's wing-tips.

    One major power overthrow and another in the wings; and

    Oil prices spiralling while the rest of the econ tanks - absolutely a deadly combination, much worse than tequila and gin;

    These to me add up to an inevitable tanking and I think the Fed feels its helplessness.  I have always thought an oil shock would be what derailed Bernanke . . . as many have said (here), he can't print oil.

    Now we are looking at compressed margins, lack of demand, further layoffs, more austerity amongst the populace.

    So what is Hoenig up to?  I think he is acting (assigned the role of) Shit Magnet or Shit Deflector.  Not sure which.

    One thing I feel pretty certain of; the Fed and the Administration sees a little further down the road than most of us, and what they see ain't pretty.

    Wed, 02/23/2011 - 20:42 | Link to Comment acrabbe
    acrabbe's picture

    Yeah this seems to be about where we're at. The only thing that will stave off the masses from literally cannibalizing anyone in a position of power, whether that be a Fed or some poor random balding guy in a business suit, is legalization of drugs and free processed poison food. Hoenig saying this stuff is really surreal. I feel like we are on the cusp of some major, MAJOR events. Similar to the day before 9/11 when Rumsfeld got on TV and said the Treasury or DoD had lost track of about $2 Trillion...? Anyone remember that? $2 Trillion back in 2001 was alotta bank, not like the mere pittance it is today.

    I've got water, food and some physical, but hell if I'm going to hide when the fireworks start. Thou should not love living too much, lest thou be afraid to die... or something like that.

    Thu, 02/24/2011 - 01:18 | Link to Comment StychoKiller
    StychoKiller's picture

    My money's on someone really creepy, like Lord Voldemort!

    Wed, 02/23/2011 - 13:41 | Link to Comment jus_lite_reading
    jus_lite_reading's picture

    Anyone need another reason to shut down the Fed?

    Wed, 02/23/2011 - 13:42 | Link to Comment Critical Path
    Critical Path's picture

    I can't see another bank bailout happening.  People scoffed at me for making the comment last year.  True that a majority of Americans have been arguably the most complacent bunch on the globe.  However, I think bringing this back to the table causes a shit storm of epic proportions.  

     

    For one, "give us the money or else" just doesn't resonate with a huge swath of the population anymore.  They simply reply, "or else what?"  For most of them, they could probably give two shits whether it all fell apart 2 years ago. 

    Wed, 02/23/2011 - 13:48 | Link to Comment dark pools of soros
    dark pools of soros's picture

    you closing the discount window??? there is no need for bailout when there is a free buffet

    Wed, 02/23/2011 - 14:42 | Link to Comment RichardP
    RichardP's picture

    I can't see another bank bailout happening.

    CP - readers of ZH have been presented over time with evidence that the bailouts have never stopped - they have just changed forms.

    And I agree with Dark Pools: now that the Fed is up to speed and on top of things, no one will ever need to go to Congress again asking for a bailout of the banks.

    Wed, 02/23/2011 - 14:44 | Link to Comment Common_Cents22
    Common_Cents22's picture

    Ha, no bank bailouts?  What do you think is happening every day?  POMO etc...they just don't tell you they are bailouts.

    Wed, 02/23/2011 - 15:07 | Link to Comment SilverBaron
    SilverBaron's picture

    The next bail out will be through TPTB massively shorting the market and taking all the 401K money without even passing a law. 

    Wed, 02/23/2011 - 13:42 | Link to Comment Scottj88
    Scottj88's picture

    He is on record right before it happens... great

    http://thehardrightedge.com/troubledwater/

    Wed, 02/23/2011 - 13:42 | Link to Comment 99er
    99er's picture

    And the Long Bond gets a bid?

    http://www.zerohedge.com/forum/99er-charts-0

    Wed, 02/23/2011 - 13:42 | Link to Comment buzzsaw99
    buzzsaw99's picture

    What else is new? [/sarcasm]

    Wed, 02/23/2011 - 13:42 | Link to Comment Catullus
    Catullus's picture

    Hoenig and Kaisar: BFF.

    Wed, 02/23/2011 - 13:44 | Link to Comment dmisko
    dmisko's picture

    Just a dream people, go back to sleep, nothing to see here.

    singned:

    The Wizard.

    Wed, 02/23/2011 - 13:43 | Link to Comment nabi
    nabi's picture

    Apparently it's time now to stampede the sheep off the cliff, and Hoenig has been assigned the job...

     

    Wed, 02/23/2011 - 13:44 | Link to Comment poor fella
    poor fella's picture

    Banks and W$ declare Force Majeure: splitting all funds, articles in safety deposit boxes, and equities. Bair will be there to clean up, using taxpayer money to pay bank investors 100 cents on the dollar - some reset.

    Thu, 02/24/2011 - 01:25 | Link to Comment Pee Wee
    Pee Wee's picture

    Actually, taxpayer is 117 cents on the dollar including record bonuses rewarding fraud and failure.

    Wed, 02/23/2011 - 13:44 | Link to Comment SparkyvonBellagio
    SparkyvonBellagio's picture

    Titanic3 ... don't call it QE3, QE2, etc.

     

     

    That's all it is. Titanic Finance.

    Someone is drunk at the helm just like that boat.

    Oh wait, they're just Pawns getting payoffs.

     

     

    12/21/2012 can't arrive soon enough.

    Wed, 02/23/2011 - 13:47 | Link to Comment SpeakerFTD
    SpeakerFTD's picture

    Today's useless trivia:

    Today is 666 days from 12/21/2012. 

    Do NOT follow this link or you will be banned from the site!