Yesterday I read an interview with Edward Conrad, one of Mitt Romney's partners at Bain Capital and the author of Unintended Consequences: Why Everything You've Been Told About the Economy is Wrong. He was brought into Bain after it was already up and running and Mitt tutored him. I can only assume his views are essentially those of his mentor's. If Mitt is to ever have any chance of becoming President he'd better hope no one ever reads Conrad's interview or his book.
Conrad says, "The financial crisis...was not the result of corrupt bankers selling dodgy financial products. It was a simple, old-fashioned run on the banks."
What has he been smoking? He goes on to say, "The banks made some mistakes, but the important thing now is to provide them even stronger government support." He advocates "...creating a new government program that guarantees to bail out the banks if they ever face another run." *jaw hitting floor* As for exotic derivatives (that were the root cause of the Crash of 2008), he doesn't see a problem. "They were fundamentally sound." * speechless*
Sure, everyone he ran with got to retire to the Hampton's with their fortunes pretty much intact. But for every one of his buddies in that position there were tens of thousands who got royally screwed.
Gonna be a tough sell, Mitt.
S
I agree with you on these assertians. As one who worked to resolve accounting problems with these products, they were not simple and they were not sound as even the people who invented them had trouble explaining them. Everyone including government had a hand in this "crash."
ReplyDeleteI don't really know Mitts views on the cause however it seems a streatch to assume this man only parrots Mitts views. Pretty sure he is capable of being his own man. Much as I do not ascribe to our President every idea expoused be the many somwhat shady or politically incorrect characters that he associated with in his early days.
I really miss the old Republican party, which at least pretended to govern for the benefit of all. At its core, history is a study of economics, and based on what's happened to previous societies where wealth and power were consolidated into the hands of a few--at the expense of the middle class--I'd say significant trouble is brewing.
ReplyDeleteFair enough, Joe. "Everyone including the government"....make that ESPECIALLY the government. I wonder if he would be on "President" Romeny's short list for Sec Treasury or FED chief? If so, that scares me.
ReplyDeleteSteve....I think big troubles are brewing, too. The "ultra" wings of either party are dangerous IMO.
S
I'm not sure the "old" Republican party was any better than today's in it's aims and programs. But at least the moderates who are now tough to be found could and would cooperate.
ReplyDeleteAs for your Bain man . . he is blinded by the sun reflecting off his piles of gelt.
Anyone who calls for MORE government bailouts frightens the poop out of me, but especially so when it is the rich asking for corporate welfare. If anyone should understand how capitalism works - you have to let failures fail - it is this guy. But he either doesn't know or is so damned arrogant that he refuses to admit to his own knowledge. Amazing.
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