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Ratigan Grills Propaganda Queen Christina Romer, Demands Windfall Profit Tax Clarity, Gets Blank Stare Response

Tyler Durden's picture




 

Ratigan cuts to the chase, bypassing the hollow rhetoric by Administration propaganda queen Christina Romer, who can't beat enough drums on today's pathologically ludicrous BLS numbers, yet is completely unwilling to discuss how the White House will proceed to recoup any of the taxpayer-subsidized windfalls at Wall Street firms. Any considerations of windfall tax, be they in the form of a Tobin tax, now openly supported by such people as Warren Buffett and John Bogle, or directly imposed, seems to not be on the White House's agenda currently or any time in the future. How is it so difficult for Obama to understand that Main Street is demanding some quid-pro-quo of firms like Goldman, whose employees are covertly purchasing Ferraris even as excess bank reserves hit another all time record yesterday, and instead of lending money out the banks continue to collect a risk-free 0.25% on these excess reserves, thereby once again picking taxpayers' pockets.

Yes, we all know they need the cash as they are well aware their balance sheets are in much more deplorable conditions than loose FASB regulations force them to disclose. However, the animosity is growing, and more and more the anger directed at Wall Street is becoming anchored at Obama and his Robert Rubin (i.e., Goldman Sachs) cronies, who despite their assumed ideological adherence, are seeminly much more pro-Wall Street than even previous Republican administrations. This will be a heated issue for the President, especially once details of individual Wall Street record bonuses become all too public.

 

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Fri, 12/04/2009 - 13:40 | 152566 Cursive
Cursive's picture

The American people are starting to win a few battles with the banksters, i.e. yesterday's bitch slapping of "Not Obvious" Bernanke.  Thank you, ZH, for being a huge part of that effort.

Fri, 12/04/2009 - 13:56 | 152601 El Hosel
El Hosel's picture

Nice to see Ratigan asking real questions, Christina reminds me of Gabby.

http://www.youtube.com/watch?v=ke5Mr5eCF2U

Fri, 12/04/2009 - 14:03 | 152618 deadhead
deadhead's picture

I agree with Cursive on both counts.

Time to step the pressure up.  Continue to hammer your congress critters.

Fri, 12/04/2009 - 15:41 | 152778 Cursive
Cursive's picture

Thanks, DH.  Yes, step up the pressure.  I will be calling Sen. Vitter and Sen. Landrieu as many times as necessary.  Let's all do our part to return sanity to our great country.  A phone call is much easier and less costly than blood.

Fri, 12/04/2009 - 15:20 | 152751 Anonymous
Anonymous's picture

Raise your expectations.

The wardens mentioning the possibility of an extra scoop of gruel for dinner (because they're afraid of a riot) is not winning a battle.

Don't expect that congress' words and actions will be congruent.

Fri, 12/04/2009 - 16:07 | 152836 FoolMeTwice
FoolMeTwice's picture

Even a journey of thousand miles begins with a single step.

Kudos ZH keep on marching.

Fri, 12/04/2009 - 13:42 | 152569 Anonymous
Anonymous's picture

Obviously Christina Romer has trimmed her wardrobe expenses during this economic downturn. Wearing the same clothes for Ratigans interviews.

Fri, 12/04/2009 - 15:17 | 152746 curbyourrisk
curbyourrisk's picture

That is so funny!!!

Fri, 12/04/2009 - 23:29 | 153598 Anonymous
Anonymous's picture

If only Lloyd Blankcheque's Mrs would follow Christinas good example

Fri, 12/04/2009 - 23:32 | 153602 ED
ED's picture

If only Lloyd Blankcheque's Mrs would follow Christinas good example

Sat, 12/05/2009 - 00:38 | 153648 Anonymous
Anonymous's picture

Maybe green is the official color of the White House now? Kinda like the Emerald City in the Land of Oz.....

Fri, 12/04/2009 - 13:43 | 152571 Anonymous
Anonymous's picture

Thowing a Participation Fee on the general public for buying & selling stocks IS NOT a way to get back at Wall Street Investment Banks. Tax those banks directly if you want to exact money from them. Why slam the general public with a transaction tax because of what the investment banks did?

Fri, 12/04/2009 - 13:43 | 152572 Anonymous
Anonymous's picture

Thowing a Participation Fee on the general public for buying & selling stocks IS NOT a way to get back at Wall Street Investment Banks. Tax those banks directly if you want to exact money from them. Why slam the general public with a transaction tax because of what the investment banks did?

Fri, 12/04/2009 - 14:02 | 152616 Careless Whisper
Careless Whisper's picture

Tax those banks directly if you want to exact money from them.

Who said anything about exacting money from the banks? That won't happen. GoniffSachs pays an effective income tax rate of about 1%.

Fri, 12/04/2009 - 14:06 | 152620 Anonymous
Anonymous's picture

The primary purpose is to lessen the "rake," if you are familiar with that poker term. Or in Bogle's words, the intermediaries. The more the traders suck out of the system, the lower the less money going to real businesses or real investors.

Fri, 12/04/2009 - 16:33 | 152924 Careless Whisper
Careless Whisper's picture

Your analysis makes no sense. Traders don't take money from real businessess or real investors; they narrow the spreads which helps investors. There is no benefit to a transactions tax except the politicians will have more loot to waste.

Fri, 12/04/2009 - 16:47 | 152961 Anonymous
Anonymous's picture

The idea of narrow spreads is a faux god. It means nothing regarding long-term investments. Only those who trade frequently care, and because those are the people we want OUT of the market, a transaction tax is the perfect solution.

Locks on doors are a very minor inconvenience compared to the benefit.

Fri, 12/04/2009 - 17:12 | 153027 Careless Whisper
Careless Whisper's picture

just curious; why do we want frequent traders out of the market ???

Fri, 12/04/2009 - 23:39 | 153610 Anonymous
Anonymous's picture

Like I said above, the "rake" takes money from the company and the financial backers of the company. Read Bogle's "Battle for the Soul of Capitalism."

Fri, 12/04/2009 - 13:46 | 152573 stoverny
stoverny's picture

Is Rohmer smart?  Because I've seen her on TV a bunch of times now, and she comes across rather empty-headed.

Fri, 12/04/2009 - 13:51 | 152582 AngryVoter
AngryVoter's picture

Apparently for many decades the most important skill in Washington is the ability to not answer a question no matter how many times it is asked.  Ax em all.  Let the file for unemployment.

Fri, 12/04/2009 - 13:54 | 152590 Cognitive Dissonance
Cognitive Dissonance's picture

Rohmer is either a smart cheerleader or an average financial mind. She wasn't hired for her looks or her financial mind as much as her willingness to subvert her average financial mind for cheerleading duties. In other words, a tool.

Give me a O, give me a B, give...well, you know the rest.

Fri, 12/04/2009 - 13:57 | 152602 Brian Griffin
Brian Griffin's picture

give me a E, give me a S, give me a E, what's that spell?  Obese! 

Fri, 12/04/2009 - 13:58 | 152606 Sqworl
Sqworl's picture

lol...hahahaha

Fri, 12/04/2009 - 16:10 | 152855 FoolMeTwice
FoolMeTwice's picture

Ha ha ha ha ha.

You should have left the answer out and let people figure it out.

Fri, 12/04/2009 - 14:38 | 152688 ChanceIs
ChanceIs's picture

I can assure you that Rohmer's looks most likely figured a strong positive in the decision to give her that position.  In this time of plotical correctness, stunning looks are a disadvantage.  Lets show how egalitarian we can be.

Having siad that, I have found the concept of considering looks over capabilities to be completely offensive, as I hope everybody here does.  RoboTrader leads the way on that.

Having said all of that, she is clearly an empty headed cherleader.  She understood Ratigan's question after 10 seconds and tried to blow smoke up his a&% for the next few minutes.  Hey!!!  But speaking of looks, making the boss look good is what Washington is all about.

Somebody (Rubin, Paulson, etc) sold the White House (the last five of them) the maxim that the big banks are vital to the economy.  They never bothered to question that or otherwise prove it to themselves.  Gotta give the big banks free money or we will all starve.  Never mind the fact tht there is a host of small to mid size banks that would be happy to take the big banks' horrid loans off their hands for $0.50 on the buck - which is about what they are worth.

THis is all about keeping the banks' bondholders and executives from the harm they deserve.  The stockholders are in there somewhere but not significantly.

 

Fri, 12/04/2009 - 16:39 | 152943 faustian bargain
faustian bargain's picture

Ugly *and* incompetent. Fits right in at Berkeley.

Fri, 12/04/2009 - 13:56 | 152603 Anonymous
Anonymous's picture

Agree, another professor from UC Berkeley.
http://en.wikipedia.org/wiki/Christina_Romer

Fri, 12/04/2009 - 14:00 | 152612 Anonymous
Anonymous's picture

My exact thought, staying on a script and not answering the substantive questions, sickening!

Fri, 12/04/2009 - 14:08 | 152622 ShankyS
ShankyS's picture

Have you not read the requirements manual to be a government employee? They can be found in the children's section of most libraries and book stores. Lord knows we don't want anyone "over qualified". She reminds me of Aunt Bee a little, don't you think?

Fri, 12/04/2009 - 15:56 | 152815 Big Red
Big Red's picture

You denigrate "Aunt Bee" beyond repair with that comparison. Maybe more like an aunt from "Arsenic and Old  Lace?" Nah

Fri, 12/04/2009 - 18:39 | 153215 Anonymous
Anonymous's picture

Nah shes just a heavy gal who smiles when being called a moron.

I am Anonymous

Fri, 12/04/2009 - 13:47 | 152574 Thomas
Thomas's picture

Romer is a complete idiot. I have never seen her acting to the contrary.

Fri, 12/04/2009 - 13:47 | 152575 P Rankmug
P Rankmug's picture

Who provides the lobotomy when you enter government service?

Fri, 12/04/2009 - 13:49 | 152578 AngryVoter
AngryVoter's picture

Dylan for president.  Go Green Recycle Washington.  We are all sick of there crap being dumped on us. 

Fri, 12/04/2009 - 13:49 | 152579 CharlesBronson
CharlesBronson's picture

With less than 10% of Obama's hand picked savants having ANY private sector service....she is a perfect counterbalance.

Fri, 12/04/2009 - 14:35 | 152680 rayen36
rayen36's picture

In terms of experience? or in terms of body mass?

Fri, 12/04/2009 - 13:51 | 152585 Anonymous
Anonymous's picture

She's an academic who has never run a business or created a job in her life. Egghead with no street smarts, and doesn't understand how things operate in the "real" world. Perfect complement to Obama's team of bureaucrats and academics who have lived their lives in an institutional bubble.

Fri, 12/04/2009 - 15:00 | 152722 Anonymous
Anonymous's picture

From her education background, she lives in ivory tower all her life.

Fri, 12/04/2009 - 15:46 | 152798 Anonymous
Anonymous's picture

An academic? She reminds me of a cafeteria monitor in elementary school. That kind of academic.

Fri, 12/04/2009 - 13:52 | 152587 Winisk
Winisk's picture

Loved the way Dylan had to dumb it down by using a hamburger analogy.

Fri, 12/04/2009 - 13:53 | 152589 Anonymous
Anonymous's picture

The mistake was asking her a question concerning economics. The example Dylan used of the hamburger though had her full attention.

Fri, 12/04/2009 - 14:37 | 152684 gmrpeabody
gmrpeabody's picture

+10...LOL

Fri, 12/04/2009 - 13:54 | 152591 Sqworl
Sqworl's picture

Tyler: find clip of his Q&A today...emphasis on his economic mettle...

Fri, 12/04/2009 - 13:54 | 152593 Brian Griffin
Brian Griffin's picture

Mmmmm, Christina is looking fine this morning.  Whoof. 

Fri, 12/04/2009 - 13:54 | 152594 Daedal
Daedal's picture

I think the only windfall taxes Romer is familiar with are those charged to her at all-you-can-eat buffets.

Fri, 12/04/2009 - 13:59 | 152610 Anonymous
Anonymous's picture

LOL

Fri, 12/04/2009 - 13:58 | 152607 Anonymous
Anonymous's picture

All right, let me be the devil's advocate here. What if she is right? What if Fed does exit out quietly off MBS market?

~rackgen.

Fri, 12/04/2009 - 13:58 | 152609 Anonymous
Anonymous's picture

I dunno. Maybe it's time to admit that the nation isn't headed to hell in a handbasket. Or, if it is, it isn't going to happen overnight but will play out over decades with many periods of improvement. We've got to avoid the trap of cheering for our predictions so much that we dismiss all contrary data.

I'm not surprised to see the gold hit. There seemed to be way too many "rah rah yea gold" comments lately. Gold is up 400% in seven years, and way too many people are getting jumping on the bandwagon. I'm still long gold, but the mindset has gotten so "dotcom 99," I'm cautious. CNBC now talks about gold constantly. A better time to buy was when they literally did not even cover it, did not even report its price.

Fri, 12/04/2009 - 14:00 | 152613 SWRichmond
SWRichmond's picture

As she continued to smile and deflect I could not help but think: "A thing, once seen, cannot be unseen."

Fri, 12/04/2009 - 14:08 | 152623 Busy-Body
Busy-Body's picture

More like "A thing, once seen, cannot be not eaten."

Fri, 12/04/2009 - 14:23 | 152655 faustian bargain
faustian bargain's picture

ah, the old see-food diet.

Fri, 12/04/2009 - 17:51 | 153116 Unscarred
Unscarred's picture

That quote/unquote "blank stare" from Romer was just her reflecting on her breakfast that morning:

"Mmmmmmmmm.  Jeeeellyyyyy doooooughnuuuut.  NOM NOM NOM !!!"

Fri, 12/04/2009 - 14:07 | 152621 Anonymous
Anonymous's picture

All talk and no work. Believe in me nothing will come out of the goverment that might affect banx. Things will go back to their normal before LH events,untill all the liquidity drained from the market into the various debt and equity markets. Then when there is no more money to be had,one major collapse will ensue. So may be the deflationist got their priorities in back order,first inflation(actually I think stagflation more like it),and then deflation hits after all commerce ciezes. Think Weinmar republic came before the depression....

Fri, 12/04/2009 - 14:08 | 152624 Anonymous
Anonymous's picture

It's called the Hussein dilemma: an administration official answers first by repeating the question, second immediately give the administration credit for recognizing the problem, and then third, under no circumstances provide a fact-based answer to the question.

Fri, 12/04/2009 - 14:09 | 152626 Anonymous
Anonymous's picture

458Italia, can't wait

Fri, 12/04/2009 - 14:10 | 152627 I am a Man I am...
I am a Man I am Forty's picture

Why is that guy wearing a pearl necklace?  Go figure.

Fri, 12/04/2009 - 14:10 | 152630 Anonymous
Anonymous's picture

Is it just me or does it seem that she could/should be on the receiving end of the baseball bat "yes-man" scene in the Untouchables?

Fri, 12/04/2009 - 14:15 | 152639 Anonymous
Anonymous's picture

You folks seem to be out of the loop with political correctness.

It is in poor taste to call a professional woman a cheerleader.

Please consider the proper alternative “athletic supporter”.

Fri, 12/04/2009 - 14:15 | 152640 VegasBD
VegasBD's picture

Shes wearing the same damn outfit. ha.

If she wasnt fat it would matter, but oh well.

Fri, 12/04/2009 - 14:39 | 152642 D.O.D.
D.O.D.'s picture

obviously socialism works better than capatalism... You go mother amxrica! (you fat pig!)

Fri, 12/04/2009 - 14:17 | 152644 Anonymous
Anonymous's picture

DAMNN--My two year old daughter could have done a better job! Miss Mary Sunshine/No substance needs to go work at Disney Land or something.

Dylan just wanted a specific ANSWER to the windfall profits tax, not your ring around the rosey BS!!

God, I become more worried about this administration BY THE DAY!

Wallstreet needs to be handed its head on a platter!

Fri, 12/04/2009 - 17:29 | 153069 MsCreant
MsCreant's picture

"needs to go work at Disney Land or something."

Wallmart greeter.

No offense intended to the greeters on this board.

Fri, 12/04/2009 - 18:02 | 153145 Unscarred
Unscarred's picture

When you see this kind of presentation match with it's given results thus far, it's easy to understand how we've gotten to this point:

Presented Without Comment: Experience
Fri, 12/04/2009 - 14:20 | 152649 Anonymous
Anonymous's picture

Oh my GOD--Answer the phuccking question you imbecile!!

America wants answers, not obfuscation and more DRIVEL!!

ACCOUNTABILITY NOWWWWWWWWWWWWWWWW

Fri, 12/04/2009 - 14:21 | 152650 Terminal Frost
Terminal Frost's picture

I thought that was Susan Boyle!

Fri, 12/04/2009 - 14:26 | 152659 Anonymous
Anonymous's picture

The answers she gave I'm afraid have become all too typical of the Obama Administration's lack of knowledge, effort and accountability.

They wonder why confidence is gone, when they are clearly and completely OWNED by Wallstreet, and do Nothing to hold these criminals accountable??

It has gone beyond maddening, beyond wrong, at this point it is just unconstitutional.

BOYCOTT all big banks and GS. If we act collectively, we can effect change. Our government clearly does not care.

Fri, 12/04/2009 - 14:37 | 152685 Hephasteus
Hephasteus's picture

Fractional reserve has turned into fictional reserve. Screw lending, fixing the system, tweaking the game, working on game balance. Nuke it and start it over.

Fri, 12/04/2009 - 14:42 | 152689 Stevm30
Stevm30's picture

quid-pro-quo, in a system based on a rule of law, is established at the time the contract is made.  As much as the public might want, they should not be allowed to go back, and re-write the agreement.  Accept the fact that our politicians failed us this time, and see if we can fix the source of the problem, which is the tendency to bail out faltering firms.  The government made a mistake, and now they want to lynch the beneficiaries... shouldn't work like that.  Despite what Buffet and Bogle want...

Non-steriodial annual homerun king:

Roger Maris - 61* (extended season)

Lifetime investment king (by average annual return):

Warren Buffet - 20.3%* (lobbied for and received govt. bailout - 2008)

 

Fri, 12/04/2009 - 14:39 | 152690 Anonymous
Anonymous's picture

Im sorry, but she is a total pig.

And Im not talking about her stuffing her face with fast food and brownies all day and blowing up like a ballon.

This is not meant to be a personal attack on her butch "Im lazy" haircut. Nor, is it about her bowling ball shaped face. I dont care that she looks like she got hit with a bag of nickles.

When I said she was a pig, I was referring to her personality. She is that annoying neighbor that talk about everyone behind their back, watches what everyone is doing, and what cars you have in your driveway.

Here piggy....piggy....piggy

By the way, she has the fashion accumen of Rosie O'donnell

Fri, 12/04/2009 - 14:43 | 152695 Anonymous
Anonymous's picture

She's like Fred Flintstone in drag, except she's less truthful and articulate.

Fri, 12/04/2009 - 14:49 | 152705 musth
musth's picture

Ratigan is the man. Period. How's this guy still on TV?

 

That hog gives me baby powder fantasy's.

Fri, 12/04/2009 - 16:07 | 152840 Anonymous
Anonymous's picture

Eeeew...Time to raise your standards, bud.

Fri, 12/04/2009 - 14:52 | 152710 Anonymous
Anonymous's picture

The shame of it is, Ratigan is on a network nobody watches, and most likely will be toast now that jet engines and microwave can no longer subsidze weak ratings.

This guy deserves an Emmy!

Fri, 12/04/2009 - 14:59 | 152719 Anonymous
Anonymous's picture

Dr. Romer? puhleez, Dylan's words were bouncing right off that fat head or right over it, dingbat.

Good to see Dylan boldly stepping further from the reservation.

Fri, 12/04/2009 - 15:02 | 152724 Anonymous
Anonymous's picture

How about this....

If the Polys were really serious about creating jobs
they would be implementing tax stucutre change.

A 15% Consumption tax only , 10% to the states, 5% to the Fed would dwarf the total tax take under the current system that is quickly moving the US to another "Haiti type state".

I think that a 15% Consumption tax only should be placed for vote by the public on the internet nationwide. No individual income or corporate taxes.

If the public votes yes, then it should immediately implemented.

Then the next Golden Age for the US would begin.

There would actually be labor shortages and a dramatic change to the positive in Americans attitudes, trust, and well being.

Fri, 12/04/2009 - 15:06 | 152729 Anonymous
Anonymous's picture

Too funny.....Bogle and Buffett would attract more capital for themselves in their funds....because a Tobin tax would reduce competitive options .

This is WHY they are interested.

Tppp funny....

ie Buffett recently "helping" Goldman Sachs....

FUNNY !!!!!

Fri, 12/04/2009 - 15:26 | 152757 curbyourrisk
curbyourrisk's picture

He thanked her for the conversation in the end.  Dylan...a conversation involves 2 people contributing logical dialogue.  Where was any logic on her part?

Fri, 12/04/2009 - 15:30 | 152763 geopol
geopol's picture

Just watched the video---Content Free

Fri, 12/04/2009 - 15:33 | 152774 Anonymous
Anonymous's picture

PhD in what? hocus pocus? Just curious...

Fri, 12/04/2009 - 15:49 | 152804 Anonymous
Anonymous's picture

They are going to find the largest insider trading fraud in history was just perpetrated by the Fed and the Banks they gave out trillions of dollars to...We deserve to know who received the money. Once received, was the money used by banks for trading operations? Is that why the banks now do not segregate on their financial statements from trading operations? What did the banks invest in in once they received cash? Who had knowledge of these equity infusions? Did they personally profit... See More? Why wasn't this disclosed to all investors? Why did some have this knowledge and some did not? How did having the insider knowledge of firms secretly receiving hundreds of billions of cash from the Fed impact their investment decisions? How much of the bank revenue was from trading operations? How were their trading investments influenced by knowledge of whom and when the Fed would provide these secret cash infusions? How much of the bonuses at Goldman Sachs and others was based upon trades as a result of the undisclosed to the public information about the Feds actions? Is this why Goldman Sachs was successful in making $100 Million a day in trades for nearly 100 days in a row without fail. If the Fed complicit in a massive defrauding of the American people? We deserve to know. We need a full Congressional investigation to resolve this matter.

Fri, 12/04/2009 - 15:50 | 152806 Anonymous
Anonymous's picture

They are going to find the largest insider trading fraud in history was just perpetrated by the Fed and the Banks they gave out trillions of dollars to...We deserve to know who received the money. Once received, was the money used by banks for trading operations? Is that why the banks now do not segregate on their financial statements from trading operations? What did the banks invest in in once they received cash? Who had knowledge of these equity infusions? Did they personally profit... See More? Why wasn't this disclosed to all investors? Why did some have this knowledge and some did not? How did having the insider knowledge of firms secretly receiving hundreds of billions of cash from the Fed impact their investment decisions? How much of the bank revenue was from trading operations? How were their trading investments influenced by knowledge of whom and when the Fed would provide these secret cash infusions? How much of the bonuses at Goldman Sachs and others was based upon trades as a result of the undisclosed to the public information about the Feds actions? Is this why Goldman Sachs was successful in making $100 Million a day in trades for nearly 100 days in a row without fail. If the Fed complicit in a massive defrauding of the American people? We deserve to know. We need a full Congressional investigation to resolve this matter.

Fri, 12/04/2009 - 15:50 | 152809 Let them all fail
Let them all fail's picture

2.8% revised, GDP, eh? Which firm was it that revised their estimate to 2.8% at the last minute....hmmm....slips my mind

Fri, 12/04/2009 - 16:01 | 152826 crzyhun
crzyhun's picture

C. Romer, BLAH< BLAH<BLAH<BLAH.....repeat after me. ZZZZZZZZZZZZZZZZZ!

Fri, 12/04/2009 - 16:10 | 152853 Anonymous
Anonymous's picture

Man, why did she come for the interview. She could have stayed at home.

Fri, 12/04/2009 - 16:12 | 152865 Anonymous
Anonymous's picture

This woman might be qualified to lead a girlscout troup, but that is about it.
It says a lot unfortunately, about this administration, that they would send someone as ridiculous as this shill out there to defend them with her flowery non-answers.

Keep up the great work Dylan! You are without peer in your industry.

Fri, 12/04/2009 - 16:17 | 152875 Mark Beck
Mark Beck's picture

Ratigan missing one of his strongest points in punching the Romer spin machine on this particular topic, and that is, the current administration had plenty of time to address his specific concerns, but instead deliberately chose to ignore it.

On day one of Obama taking office, there should have been an immediate investigation of the root causes to the financial crisis. Then banking reform should have been his focus. Revamping the SEC, and regulating the derivatives market.

But, no.

After the financial crisis, what does the president concentrate on, stimulus and health care. Health care reform is admirable, and stimulus is also a necessary evil, but his timing is just lunacy.

Mark Beck

Fri, 12/04/2009 - 16:19 | 152885 Anonymous
Anonymous's picture

just a question here, from a non-banker/economist. I've seen it suggested several time that we bypass banks... Is that possible? Would it be possible to form a private banking "co-opt"?

Fri, 12/04/2009 - 17:35 | 153084 MsCreant
MsCreant's picture

I don't have a link for you but I have seen it. There was a news item I saw where they interviewed a "lender" who was just a guy, and a "borrower" also just a guy. Seems there is a database where lenders and borrowers are matched up. I saw it on the web.

Sat, 12/05/2009 - 00:27 | 153641 Problem Is
Problem Is's picture

Public entity, State Bank of North Dakota... operating successfully since 1919.

Fri, 12/04/2009 - 16:23 | 152895 JR
JR's picture

Ah. The Romers and the Mankiws, the Summers and the Rubins. Washington, it seems, it just one big happy rotating university/banker/government family, overseeing US politics, finances, culture and foreign affairs. Do we really need a Congress?

Perhaps you recall N. Gregory Mankiw, who called for, as one blogger put it a few weeks ago, “a negative interest rate, a global carbon tax, a higher gas tax, and before the economy plunged deep into a downturn claimed, in December, 2007, that we should stay out of the way of the Fed as it continued its money manipulations”?  Whose Principles of Economics textbooks continue to be (unfortunately) the most popular and widely used text in the economics classroom,” according to Amazon.com?

Well, Mankiw and Christina’s husband, David Romer, are known for their “significant early contributions” to the “New Keynesian” theory as editors in 1991 of New Keynesian Economics, volumes 1 and 2—“not to be confused with Neo-Keynesian economics,” admonishes Wiki.  Ah, yes. Ah hummm. Also, they have co-authored Published Papers.

In that David and Christina also are “a well-known economist couple”--she also known for her “liberal Obama-heavy political views” (New York Times)--and frequently working together on papers and reseach, is it too far a stretch to assume that the Romers and Mankiw also are like-minded? The Romers also have edited their own book,  Reducing Inflation: Motivation and Strategy (National Bureau of Economic Research Studies in Income and Wealth), as well as Published Papers.

Mr. Romer can be reached both at the University of Berkeley where he still teaches, I assume, and also at his IMF office in Washington, D.C.. where he is special advisor to IMF chief economist Olivier Blanchard.

http://elsa.berkeley.edu/~dromer/cv.pdf

Said the WSJ, prior to Romer’s IMF appointment:

The wooing of Mr. Romer reflects the growing ties between the IMF and the new administration. Mr. Blanchard is a long-time friend and academic collaborator with former Clinton Treasury Secretary Lawrence Summers, who is slated to head another White House economic group, the National Economic Council. Essentially, Mr. Summers would become the Obama White House's top economic adviser.

During the Clinton presidency, Mr. Summers worked also with the IMF's managing director, Dominique Strauss-Kahn, who was then French finance minister. During one meeting of international finance officials, Mr. Summer and Mr. Strauss-Kahn debated the merits of France's 30-hour work-week, says a former Clinton aide, with both of them using napkins to scribble calculations.

During the Clinton presidency, the IMF and Treasury worked closely, especially during the Asia financial crisis of 1997 and 1998, when the IMF put together multi-billion dollar packages to rescue troubled nations. Mr. Obama's choice for Treasury Secretary, Timothy Geithner, was then a Clinton Treasury aide and played a significant role in those negotiations.

After leaving the Treasury, Mr. Geithner became a senior IMF official. He is now president of the Federal Reserve Bank of New York…

With much of the world now in recession, the IMF has again come to the fore, putting together packages to help Iceland, Hungary, Pakistan and other nations. The IMF also is prodding nations to boost government spending to help revive sagging economies. That puts them on the same page as the incoming Obama administration which is putting together a massive stimulus package.

http://www.nytimes.com/2008/11/25/us/politics/25web-romer.html

Fri, 12/04/2009 - 16:24 | 152899 Anonymous
Anonymous's picture

Gov't strategy:

1. "Let's coddle Wall Street and let them have their windfall profits off taxpayers backs and pay themselves windfall bonuses."
2. "Let's make an example of smaller banks like Wamu - we can ignore their legal rights and established protocols and just wipe them out... just 'cause we can, we're the gov't."

The news is leaking out that the gov't abruptly seized Wamu with no firm basis. This story will get bigger as the giant lawsuits move forward against the FDIC and JPMorganChase.

http://seattle.bizjournals.com/seattle/stories/2009/12/07/story1.html

Fri, 12/04/2009 - 16:58 | 152937 myshadow
myshadow's picture

I don't know why she goes on with Dylan.  She does it monthly and he beats her up about the banksters, and she just ropeadopes and stays on message.  I don't know how much attention the President's econo team pays to this stuff.  They have a tin ear for main street for a year now and this is from the 'it's the economy stupid' party.  Though, I'm guessing they are gambling on the feeding frenzy that the 'treasury recapitolization' program the banks have been vampirizing their way to the appearance of solvency is going to have to come to a conclusion. They are going to have to direct some serious attention to how to get people working to generate the tax dollars to feed the squid when it blows up in three years.

I think the President is going to have some trouble from pissed off people, who are unemployed, seeing the second year of his term with no regulation of the markets, no accountability for the fraud that decimated their 401k's, or put their houses under water, and no perp walks of the squids that brought the economies of the world.

Fri, 12/04/2009 - 16:57 | 152984 Anonymous
Anonymous's picture

What would Gumby look like if he ate the Pillsbury Dough Boy? Romer. What a douche.

Fri, 12/04/2009 - 17:01 | 152994 Anonymous
Anonymous's picture

Ratigan is nuts

Fri, 12/04/2009 - 17:02 | 152995 Anonymous
Anonymous's picture

Christina Romer is hot !!!!

Fri, 12/04/2009 - 17:02 | 152999 Anonymous
Anonymous's picture

When does Obama fire Her ?!?!?!?!?

Fri, 12/04/2009 - 17:04 | 153002 Anonymous
Anonymous's picture

Lou Dobbs . . . . Dylan Ratigan .... chimps

Fri, 12/04/2009 - 17:07 | 153014 Anonymous
Anonymous's picture

Ratigan loves to hear himself talk ... Rohmer loves to answer non-answers

Fri, 12/04/2009 - 17:30 | 153074 dza
dza's picture

+1

Fri, 12/04/2009 - 17:08 | 153018 Anonymous
Anonymous's picture

Romer lost 10 lbs. just answering questions

Fri, 12/04/2009 - 17:15 | 153033 Anonymous
Anonymous's picture

Cash for clunkers . . . . where can I trade in my Obama vote ?!?!?!?!?!?

Fri, 12/04/2009 - 17:18 | 153048 Anonymous
Anonymous's picture

Who put Beau Bridges in the Obama administration (and in a dress)?

Fri, 12/04/2009 - 17:28 | 153065 Anonymous
Anonymous's picture

Cash for clunkers . . . where can I trade in my Obama vote ?!??!?!?!?!?

Fri, 12/04/2009 - 18:51 | 153226 MsCreant
MsCreant's picture

Cash for clunkers...hmmm....

Maybe we could clean out the entire Obama cabinet and staff and get cash for his clunkers.  We could start with the pristine Christine.

[Edit] If you have seen what some of them get paid, I just might be on to something.

They even have some Schmuck earning $36,000 a year, Robert to be precise, I shit you not, page 24:

http://www.whitehouse.gov/assets/documents/July1Report-Draft12.pdf

http://www.politicsdaily.com/2009/07/06/what-michelle-obamas-staffers-earn/

Fri, 12/04/2009 - 21:47 | 153477 Unscarred
Unscarred's picture

By my back of the envelope addition, I get just a hair under $1.5M for Michelle's staffers.  Hmmph...

I remember reading this article from March 28th when Obama met with bankers right after his inaugaration:

He appealed to the chief executives to see their bonus payments through the prism of Americans struggling to make ends meet. He noted he was the first new president not to redecorate the Oval Office. "There are still stains on the carpet," he said.

http://online.wsj.com/article/SB123816459546857301.html

Amazing.  Makes me sick.  New players, same game, they win, we lose.

Zurich is nice, how's your German?

Fri, 12/04/2009 - 21:49 | 153483 MsCreant
MsCreant's picture

Not so good on the German. Doubt I am employable abroad. It is sickening, and I wonder if it is different anywhere. [Sigh!]

Fri, 12/04/2009 - 18:21 | 153183 Anonymous
Anonymous's picture

It seems that all government empolyees are Manchurian candidates or their brain washed supporters, can't say anything that wasn't preprogrammed

Fri, 12/04/2009 - 18:33 | 153206 Let them all fail
Let them all fail's picture

that might be the worst stupid interview ever, monologues followed by no answers, why even have her on there....and stop with the stupid friendly smile thing......ugh

Fri, 12/04/2009 - 18:52 | 153244 Anonymous
Anonymous's picture

I agree with you. I agree with you completely. President Obama agrees with you completely. Doesn't mean we will do anything, but don't you just feel super knowing someone like me and the president agree with you!!! Yay!

Fri, 12/04/2009 - 19:01 | 153263 Anonymous
Anonymous's picture

Romer is Obama's Janet Reno

Fri, 12/04/2009 - 21:46 | 153480 MsCreant
MsCreant's picture

Why dis Janet Reno?

Sat, 12/05/2009 - 00:23 | 153638 Problem Is
Problem Is's picture

In a country of butt crack shorts, sideways ball caps and basketball jerseys as business attire, the vanacular of the popular cultured all American rabble would tell us:

Reno and Romer got man-face...

Fri, 12/04/2009 - 19:02 | 153266 Anonymous
Anonymous's picture

.... and we're the Davidians

Fri, 12/04/2009 - 20:32 | 153394 Anonymous
Anonymous's picture

Over a year ago GS became a bank holding company, which, at the time we were led to believe was the end of an era of excess. The NY Times reported

"It heralds new regulations and supervision of previously lightly regulated investment banks, as well as an end to the outsize paychecks that helped shape the image of the chest-thumping Wall Street banker."

(http://dealbook.blogs.nytimes.com/2008/09/21/goldman-morgan-to-become-ba...)

Yet barely a year later, the same paper reported in Oct 2009
"Goldman also disclosed how much it had set aside for its annual bonus pool. It said that it had earmarked $5.35 billion in compensation and benefits, an increase of 84 percent from the year earlier period, putting it on course for a record payout to its executives by the end of 2009."
(http://topics.nytimes.com/top/news/business/companies/goldman_sachs_grou...)

Clearly being a bank holding company has been a major coup for GS, with the main benefit being it has access to cheap Federal funds.

Given GS's main operations are far from normal "banking" I have yet to see any clear analysis as to why they were entitled to just change, with seemingly massive benefits and no downside. Why can such a trading outfit be entitled to effectively print money by virtue of its status? Where is any criticism of a system that allows this?

The US banking system is hopelessly devoid of rationality.

Fri, 12/04/2009 - 20:34 | 153396 Anonymous
Anonymous's picture

She's too stupid even to know how to convicingly act stupid.

Fri, 12/04/2009 - 21:02 | 153435 JR
JR's picture

The sobering reality is, Romer isn’t on Saturday Night Live: she’s in the top echelon of government. Nothing funny about her---these people are dangerous.

Fri, 12/04/2009 - 21:25 | 153459 ozziindaus
ozziindaus's picture

She looks like a drunk Barney Rubble

Sat, 12/05/2009 - 00:15 | 153635 Problem Is
Problem Is's picture

"She looks like a drunk Barney Rubble"

+1 on that.

I will stick with my Obama's Three Economic Stooges analogy:

Moe: Fat Larry Summers
The mean one and the "brains" of the outfit.

Larry: Timmay Geithner
Look at the porcupine hair. Makes you want to rip a clump out like I am sure Fat Larry does at White House meetings.

Curly: Bennie Bernank-ster
The tragic figure and most beloved of the stooges...

Christina Romer??.... Shemp
Look at the hair. Need I say more?

Sat, 12/05/2009 - 17:13 | 154025 Anonymous
Anonymous's picture

quoted:

"The American people are starting to win a few battles with the banksters, i.e. yesterday's bitch slapping of "Not Obvious" Bernanke."

That is all just noise, air movement, nada.

"The more peasants talk, the less likely they will act"

Sat, 12/05/2009 - 17:13 | 154026 Anonymous
Anonymous's picture

quoted:

"The American people are starting to win a few battles with the banksters, i.e. yesterday's bitch slapping of "Not Obvious" Bernanke."

That is all just noise, air movement, nada.

"The more peasants talk, the less likely they will act"

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