Friday, October 21, 2016

Deregulation, Derivatives
& The Threat Of Mass Destruction
A free abridgement of Chapter 9 of Richard Duncan's second book, The Corruption of Capitalism .. explains how derivatives came close to bringing the financial system into meltdown during the financial crisis .. how now there still has not been much financial reform to address these problems of opaque trading & valuation of derivatives .."The deregulation of the financial industry has been one of the gravest policy mistakes in the history of the United States. It caused the Federal Reserve to lose control over credit creation and brought the country to the brink of a derivatives-induced financial Armageddon, where it still teeters today. As a consequence, dozens of financial institutions are now too big to fail but too leveraged to survive without government support. Deregulation allowed a few thousand individuals to amass great fortunes, but its ultimate cost to the taxpayers is very likely to be reckoned in the trillions—possibly even tens of trillions. Finally, financial-sector deregulation gave rise to a culture of credit in the United States and contributed to the deindustrialization that has debilitated the nation."
LINK HERE to the chapter

1 comment:

Anonymous said...

Dear Mainstream Media...

You’ve almost succeeded in destroying the 4th estate and you should be ashamed of yourselves.

This is why 94% of the American people don’t trust you.

When are you going to get that through your thick skulls?

You lie, you smear, you ingratiate yourselves with wanton abandon.

Dear mainstream media: You’ve betrayed your profession, sacrificed its once sacred principles, and stabbed the American people in the back.