Krugman: Phil Gramm would be ‘just the guy’ to lead us into a Great Depression.
Krugman: Phil Gramm would be ‘just the guy’ to lead us into a Great Depression.
Last night on MSNBC’s Countdown, New York Times columnist and Princeton economics professor Paul Krugman pinpointed Phil Gramm as one of the architects of the current financial crisis, and the “odds-on favorite to be the Treasury Secretary” in a McCain administration. Asked by Olbermann what Gramm’s nomination would mean for the economy, Krugman suggested it could lead to another Great Depression:
KRUGMAN: Ben Bernanke and I think Hank Paulson understand that we could manage to have another Great Depression if we work at it hard enough. I think Phil Gramm might be just the guy to do it.
Watch it:
Gramm orchestrated the Gramm-Leach-Bliley Act in 1999 which “destroyed the Depression-era barrier to the merger of stockbrokers, banks and insurance companies.” He also pushed the Commodity Futures Modernization Act in 2000, which made legal “the mortgage swaps distancing the originator of the loan from the ultimate collector.” The Nation writes that “those two acts effectively ended significant regulation of the financial community.”
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“Phil Gramm would be ‘just the guy’ to lead us into a Great Depression.”
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Wow — and I didn’t even know this was one of our needs!
September 16th, 2008 at 9:49 amIs this McSame’s plan for the future? The wealthy liked the Great Depression and have been pissed at FDR for over sixty years for ending it.
September 16th, 2008 at 9:51 amWall Street says: Phil gramm, we thank you for your support. (smirking snickering)
September 16th, 2008 at 9:51 amPhil Gramm represents another leg in the dumbing down of America and it’s subsequent ruin. Palin and McCain are further proof.
September 16th, 2008 at 9:58 amGramm orchestrated the Gramm-Leach-Bliley Act in 1999 which “destroyed the Depression-era barrier to the merger of stockbrokers, banks and insurance companies.” He also pushed the Commodity Futures Modernization Act in 2000, which made legal “the mortgage swaps distancing the originator of the loan from the ultimate collector.”
then he generously left Congress, ceding his seat to (Cornyn?), and joining one of the firms whose interests he most solidly benefitted: Ubs Ag, which incidentally is one of OBAMA’s biggest corporate donors…
Change?
Yeah, right…
September 16th, 2008 at 9:58 amTell your friends: If they like the looks of their 401k today, they will love it under McCain.
September 16th, 2008 at 9:58 amNot content with the damage he’s already done, Phil Gramm wants back in the game to make a horrible situation even worse?!?!?! And the MSM sits quietly by, saying Nothing? And the Republican party stands on the side cheering this insanity?!?!?!?!!! Truly, the Lunatics have Taken Over the Asylum!
September 16th, 2008 at 10:01 amImpeach Palin, Pelosi, Cheney and Bush and Save the Constitution!
tokin librul Says: Ubs Ag, which incidentally is one of OBAMA’s biggest corporate donors…
Change?
Yeah, right…
Are you saying that an employee of a large corporation does not have the right to contribute to the candidate of their choice?
September 16th, 2008 at 10:06 amKRUGMAN: Ben Bernanke and I think Hank Paulson understand that we could manage to have another Great Depression if we work at it hard enough. I think Phil Gramm might be just the guy to do it.
If he hasn’t already….
September 16th, 2008 at 10:06 amIt’s not clear Phil Gramm’s role in the thousands of American citizens avoiding U.S. taxes via UBS offshore accounts. That question should be answered before he’s considered for anything.
If greed and economic survival of the fittest are the new American values, then Phil Gramm is the guy. Watch out when the world flips though Phil. The first shall be last and the last shall be first.
September 16th, 2008 at 10:15 am“…What’s your advice to America this time, Gramm?”
i don’t know about gramm, but mcNUTS wants a “9/11 commission”.
WHAT THE HELL WAS HE TALKING ABOUT???
is it another diversion? what???
September 16th, 2008 at 10:16 amPersonally, I think the elimination of Glass-Steagall was inevitable. Citigroup took a big step in driving that train when it began merging banking, insurance and investment banking into one universal bank and that was BEFORE Clinton signed Gramm Leach Blilely into law. Having said that, taking derivatives out of any robust regulation, as well as hedge funds (of course they cannot be regulated as investment companies because they could not function) has contributed to the current state. This probably will change.
September 16th, 2008 at 10:17 amand Gramm says, “Quit your whining!”
September 16th, 2008 at 10:18 amtokin librul Says:
Change?
Yeah, right…
September 16th, 2008 at 9:58 am
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Obama is receiving a lot of donations from people on Wall Street – this is well documented. But given the current state of the economy and the financial sector, wouldn’t that indicate that Wall Street doesn’t want more of the same?
September 16th, 2008 at 10:20 amBush wants to loosen banking regulations further by allowing private equity firms to buy larger chunks of banks. (more conflicts of interest, pressure to grow profits via risky ventures)
Bush just allowed lesser assets to be considered collateral for Fed loans. (lower lending standards)
More “hair of the dog” medicine from George W.’s administration.
September 16th, 2008 at 10:22 amMcCon is severly behind the eight ball when it comes to the economy. He might as well have shaken the black orb after Scarborough’s question? Looking down, he said:
“Appoint a commission?”
Joe assured John that it sounded Presidential. Gag!
September 16th, 2008 at 10:25 amExcuse me, Mr. Fox, what would you suggest we do, security wise, to protect these poor, delicious chickens?
September 16th, 2008 at 10:34 amKRUGMAN: Ben Bernanke and I think Hank Paulson understand that we could manage to have another Great Depression if we work at it hard enough. I think Phil Gramm might be just the guy to do it.
This is a great example of the hard hits that Obama needs to be making. Thankfully he’s finally getting tough.
September 16th, 2008 at 10:47 amwell this is new to me. I’ve never been snagged by this (that Ive noticed)
September 16th, 2008 at 10:47 amI was wondering if someone would now say “It’s all Clinton’s fault!” so I looked utp the Gramm-Leach-Bliley Act. It was passed by a veto-proof margin:
November 4, 1999 — Gramm-Leach-Bliley Act passes the Senate 90-8 and the House 362-57.
http://banking.senate.gov/prel99/1105tme.htm
September 16th, 2008 at 10:48 amWhy is that these banks / investment companies are big enough to be bailed out by the Feds, but too small to regulate?
Speculation fuels the monetary, oil & agri markets…exactly where they’re ‘needed least’, but do the most damage to prices.
Phuck drilling…start regulating!
September 16th, 2008 at 10:56 amand people like our trolls would be saying how the economy’s great and we’re only whining, even in the midst of Great Depression 2.
September 16th, 2008 at 11:06 amMcHoover will fix it. I forget where, but someone was saying that Hoover was saying pretty much the same thing leading up to the Depression. Hoover, right before the crash of ‘29, was saying that the fundamentals are strong or sound or something like that. The same rhetoric Hoover used before the gloom is what McHoover is saying now eighty years later. Maybe John is reading off notes he took listening to Hoover.
September 16th, 2008 at 11:07 amGramm orchestrated the Gramm-Leach-Bliley Act in 1999 which “destroyed the Depression-era barrier to the merger of stockbrokers, banks and insurance companies.” He also pushed the Commodity Futures Modernization Act in 2000, which made legal “the mortgage swaps distancing the originator of the loan from the ultimate collector.” The Nation writes that “those two acts effectively ended significant regulation of the financial community.”
There’s a recurring theme in our society of not learning from past mistakes. We could have easily predicted the failure of the war on drugs from the failure of prohibition. If we had learned the crucial lessons from the Viet Nam war we could have prevented the debacle in Iraq, and now we are reaping the results of not heeding the lessons of the Great Depression.
http://progressiveworldreview.com
September 16th, 2008 at 11:14 amAnd if John McCain gets elected and dies in office, Phil Gramm will be President in all but name.
September 16th, 2008 at 11:20 amAmerican’s are playing with fire and no one in the media will allow the truth to be told.
September 16th, 2008 at 11:52 ampoor companies in America
I just don’t get it…..what part of record profits do you guys not understand……
what part of minimum wage is below poverty level do you guys not understand?
What part of 47 million Americans without health insurance and the majority that do have it are underinsured do you guys not understand.
Business did just fine under Clinton……
I am really sick of hearing how hard life is for corporations in the US
September 16th, 2008 at 11:57 amWelcome to the PEU economy, ideal for Private Equity Underwriters.
Guess who gets to buy back their debt on the cheap? The Carlyle Group’s David Rubenstein bragged about this opportunity not long ago.
Tomorrow Kohlberg, Kravis, Roberts gets that very chance as Lehman is selling a big chunk of their high risk, high yield debt.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aeF28VU0BBuY&refer=home
Bloomberg said they’re dumping assets, which usually means on the cheap. Will Henry Kravis get to buy his debt for 50 cents on the dollar? Stay tuned!
September 16th, 2008 at 12:15 pmSome have observed that McCain’s speeches of late sound a lot like Herbert Hoover. McCain Feingold. Graham Rudman.
Change you can believe in. Just you can believe in events to be catastrophic.
September 16th, 2008 at 12:18 pmFred Says:
McCain: ‘I Still Believe The Fundamentals Of The Economy Are Strong’
“Any lack of confidence in the economic future or the basic strength of business in the United States is foolish.”
—Herbert Hoover
November, 1929
American’s are playing with fire and no one in the media will allow the truth to be told.
“Tweety” Mathews was making this point on Hardball yesterday and he was really jumping on the McCain people who were trying to doublespeak around McCain’s plans for economy. I was actually surprised Mathews was actually acting like a journalist yesterday.
September 16th, 2008 at 12:46 pmHere is an article covering yesterdays Hardball, Fred
September 16th, 2008 at 12:53 pmMatthews: McCain Sounds Like Herbert Hoover
Totally agree with PK — this is exactly what I’ve been telling people.
September 16th, 2008 at 12:59 pmNovember, 1929
“Any lack of confidence in the economic future or the basic strength of business in the United States is foolish.”
—Herbert Hoover
September 16th, 2008 at 1:08 pmWayne Says:
thanks Wayne, makes you wonder who is still listening to mccain doesn’t it. Matthews sounds like he is scared of mccain and he should be.
good to hear it on msm though…..pleasantly surprising.
September 16th, 2008 at 1:20 pmClinton era bipartisanship for you…disgusting…
September 16th, 2008 at 1:27 pmhttp://www.progressivehistorians.com/2007/11/bill-clintons-role-in-mortgage-crisis.html
September 16th, 2008 at 1:33 pmFirst, the republicans had control of the legislature at the time.
Second the author of your piece also writes “The Strange Death of Liberal America”
We aint gone yet, sorry to tell ya. repubs might be heading down the tubes though if we can get the truth out.
September 16th, 2008 at 1:43 pmPaul, we’re already being led into a Great Depression by the Zionist controlled banking system and their thug friends, the Bush family. I don’t like Phil Gramm any more than you do, but trying to blame an ignorant goy for the depression Jews are causing is a big stretch. Phil Gramm has been selling magazine subscriptions in Dallas the last ten years. Don’t blame him for our problems.
September 16th, 2008 at 2:12 pmrepublicanSScareme said:
Paul, we’re already being led into a Great Depression by the Zionist controlled banking system and their thug friends, the Bush family. I don’t like Phil Gramm any more than you do, but trying to blame an ignorant goy for the depression Jews are causing is a big stretch. Phil Gramm has been selling magazine subscriptions in Dallas the last ten years. Don’t blame him for our problems.
Blaming Jews for our problems not only represents bigotry in it’s worst form, it’s just plain wrong. Regardless of how many Jews are or are not running our banking system, you simply can’t determine the who the enemy is by their religious heritage. It doesn’t work for Jews any more than it works for Muslims.
Gramm orchestrated the Gramm-Leach-Bliley Act in 1999 which “destroyed the Depression-era barrier to the merger of stockbrokers, banks and insurance companies.”
Gramm is but one cog in an enormous machine but clearly he’s one of the more important cogs as evidenced by the above quote. You see, that’s how you judge people, by their actions, no more no less.
http://progressiveworldreview.com
September 16th, 2008 at 3:15 pmIt’s nice to see that old mealy mouth Phil Gramm helped to orchestrate the current crisis. How can Mcbush lose? (Sarc off) :)
September 16th, 2008 at 5:41 pmMinus the bailouts we would already be there. And were close.
September 16th, 2008 at 6:24 pm