From: 
Subject: ECONOMY- 10-21-09 Why Does the Obama Administration Adamantly
Reject the Reinstatement of the Glass-Steagall Act?

 

THANKS TO PATRIOT JOHN SCOTT FOR THIS IMPORTANT

 UPDATE. AS IF WE DID NOT KNOW THAT BHO  & CO. BENDS OVER FOR BANKS.

 

TIME TO PRESSURE THEM.... ALL!!!!!!

 jOE d

 

  _____  

From: John Scott 
Sent: Wednesday, October 21, 2009 10:26 AM
To: My Friends
Subject: Why Does the Obama Administration Adamantly Reject the
Reinstatement of the Glass-Steagall Act?

According to the
<http://www.nytimes.com/2009/10/21/business/21volcker.html?_r=1&ref=economy>
New York Times, the Obama Administration rejects the advice of Paul Volcker
(former Federal Reserve Chairman) and Joseph Stiglitz (awarded Nobel Prize
in Economics) with respect to banking regulation and the reinstatement of
the Glass-Steagall Act; first passed into law in 1933 and separated
commercial banks from investment banks.

It seems that the Obama Administration is fully separating itself from the
legacy of FDR and the New Deal Progressives - a very disturbing development.

During the era of Glass-Steagall, the U.S. economy never approached a near
collapse to depression levels as it did in 2008 and 2009.  But within ten
years of the repeal of Glass-Steagall, we experienced a near collapse of the
U.S. economy; necessitating the expenditure of billions of taxpayer dollars
to prop up the banking system.

Chairman Paul Volcker and Columbia University Nobel laureate Joseph Stiglitz
(and many others) fully understand the importance of separating commercial
banks from investment banks.  The New Dealers fully understood the need to
separate the two types of banks.

Will the Obama Administration continue to hew to the advice of its pro-Wall
Street advisers or change course and focus on Main Street and Middle-Class
and Working-Class Americans?  

The Glass-Steagall Act helped Main Street and Middle-Class and Working-Class
Americans by forcing commercial banks to focus on the businesses of Main
Street; not Wall Street.  Glass-Steagall fits right in with New Deal
programs like Social Security and minimum wages.


-- 
John Scott, Veteran

"The establishment of institutions for the democratic control of the rulers
is the only guarantee for the elimination of exploitation."  Sir Karl Popper



 

 

 

 

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