I consider myself to be more or less in the political center. I am scared of the possibility of the republicans winning this fall. Only because of the fact that talk of repealing the health care bill is a top priority for the party once they are elected to congress; along with cutting spending, but only in superficial programs, no one talks about cutting defense spending, some $600+ billion plus of the budget. This post really is not about politics but, state of our banking industry. I am mad as hell at Bill Clinton and the 106th congress that supported the, the Financial Services Modernization Act of 1999 aka: Gramm-Leach-Bliley Act, basically the repeal of the Glass-Stegall Act of 1933, which was instituted after the stock market crash of 1929. Which by the way was thought by some the sharpest minds of the time to be necessary deterrent to the natural greed of the financial services industry. after analyzing what had been one of the fundamental causes of the crash, trading on the margin (aka: speculation).
I was shocked at how closely the depression that we are currently in, really does resemble the last one.
Reading Material:
Here is the search results for Glass-Stegall.
We have for all intense and purposes, just repeated history.
Only with the social safety nets that were put into place during the last depression. In my humble opinion it is pretty much the same.
What Was The Glass-Steagall Act?
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