Larry Summers Withdraws from Fed Consideration [pdf]
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Larry Summers Withdraws from Fed Consideration [pdf]
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Re: Larry Summers Withdraws from Fed Consideration [pdf]
#2This is probably good as we do not need someone that is overly connected with the street, if you know what I mean.
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#3The campaigning for federal reserve chairman has been unprecedented. President Obama I am sure promised Summers the position for some of the water he and Christina Romer carried; however, since President Obama signaled Bernanke's position will not be renewed, the sharks started to circle and we have the current situation.
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#4I think opposition started with Scott Sumner in July. http://www.themoneyillusion.com/?p=22379
Very good news.
I expect to see the markets react tomorrow, ala balmer on a much greater scale.
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#5This is probably good as we do not need someone that is overly connected with the street, if you know what I mean.
Bigtime. Summers is a key proponent of the financial practices that led to the 2007 financial crisis.
>Summers oversaw passage of the Gramm-Leach-Bliley Act, which repealed Glass-Steagall ... He then oversaw passage of the Commodity Futures Modernization Act, which banned all regulation of derivatives
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#6This is probably good as we do not need someone that is overly connected with the street, if you know what I mean.
Bigtime. Summers is a key proponent of the financial practices that led to the 2007 financial crisis. >Summers oversaw passage of the Gramm-Leach-Bliley Act, which repealed Glass-Steagall ... He then oversaw passage of the Commodity Futures Modernization Act, which banned all regulation of derivatives http://chronicle.com/article/Larry-Summersthe/124790/
The vast majority of OTC derivatives was far less disruptive to the banking sector than your average vanilla home mortgage loan during the crisis.
An overwhelming majority of all the banks that failed during the crisis had zero OTC derivatives on their books, but plenty of average vanilla home mortgage loans.
Internal documents from the banks that did deal in more sophisticated financial products show that they had a good understanding of how these products exposed them to risks in the home mortgage market, they just didn't think that housing prices would fall that much.
Despite all this, people like to blame OTC derivatives for the crisis rather than overconfidence in the housing market.
Why is this?
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#7I think opposition started with Scott Sumner in July. http://www.themoneyillusion.com/?p=22379 Very good news. I expect to see the markets react tomorrow, ala balmer on a much greater scale.
and opposite side. The market will tank tomorrow by 1.5-2%.
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#8I think opposition started with Scott Sumner in July. http://www.themoneyillusion.com/?p=22379 Very good news. I expect to see the markets react tomorrow, ala balmer on a much greater scale.
and opposite side. The market will tank tomorrow by 1.5-2%.
equity futures are already up 1% during sunday's trade
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#9Earlier quoted context omitted.
Bigtime. Summers is a key proponent of the financial practices that led to the 2007 financial crisis. >Summers oversaw passage of the Gramm-Leach-Bliley Act, which repealed Glass-Steagall ... He then oversaw passage of the Commodity Futures Modernization Act, which banned all regulation of derivatives http://chronicle.com/article/Larry-Summersthe/124790/
The vast majority of OTC derivatives was far less disruptive to the banking sector than your average vanilla home mortgage loan during the crisis. An overwhelming majority of all the banks that failed during the crisis had zero OTC derivatives on their books, but plenty of average vanilla home mortgage loans. Internal documents from the banks that did deal in more sophisticated financial products show that they had a…
Wow. This is 180 degrees away from the mainstream narrative of how the crisis developed.
I'm not trying to bait you or argue, but do you have any links? I'd be interested in some supporting documentation for your claim.
Re: Larry Summers Withdraws from Fed Consideration [pdf]
#10Earlier quoted context omitted.
Bigtime. Summers is a key proponent of the financial practices that led to the 2007 financial crisis. >Summers oversaw passage of the Gramm-Leach-Bliley Act, which repealed Glass-Steagall ... He then oversaw passage of the Commodity Futures Modernization Act, which banned all regulation of derivatives http://chronicle.com/article/Larry-Summersthe/124790/
The vast majority of OTC derivatives was far less disruptive to the banking sector than your average vanilla home mortgage loan during the crisis. An overwhelming majority of all the banks that failed during the crisis had zero OTC derivatives on their books, but plenty of average vanilla home mortgage loans. Internal documents from the banks that did deal in more sophisticated financial products show that they had a…
Could it be because OTC derivatives forced us to bail out AIG?