Posted on 07/20/2016 8:48:11 AM PDT by b4its2late
I’m sure the good Reps have been stuffing their pockets with financial lobbyist cash.
This law should never have been repealed.
This is an absolutely necessary first step. I don’t care how “well-regulated” banks are - as 2008 showed - they are gambling with what ultimately becomes public money
Someone explain what a Glass Seagull is and why we care about it?
(just joking but serious question- do we like it or not?)
The GS act covered a lot of issues. They need to be debated individually. One thing we can all agree on is that our big banks are too big and still to big to fail. We also now have the fed gov and taxpayer doing too much of the housing market.
[Reps. Steve Stivers and French Hill expressed disappointment]
I love how the headline reads “GOP Lawmakers”, as if the entire Congressional right is up in arms, and there are only two of them in the article.
No, there isn’t any bias here... /sarc
The Glass–Steagall separation of commercial and investment banking was in four sections of the 1933 Banking Act (sections 16, 20, 21, and 32).[1] The Banking Act of 1935 clarified the 1933 legislation and resolved inconsistencies in it. Together, they prevented commercial Federal Reserve member banks from: Conversely, Glass–Steagall prevented securities firms and investment banks from taking deposits.
Sounds like good policy to me.
Are they calling for re-instatement of Glass-Steagal, repeal of Gramm-Leach-Bliley or some combination thereof?
My son is in banking and absolutely detests Dodd-Frank. He has said that Glass-Stegal worked for decades and that Dodd-Frank isn’t working and causes headaches that are beyond description.
>My son is in banking and absolutely detests Dodd-Frank. He has said that Glass-Stegal worked for decades and that Dodd-Frank isn’t working and causes headaches that are beyond description.
I’ve heard the same from many sources.
Agreed
The article is not accurate, as it could be possible that some of the Republicans in the House and Senate may have thought of reinstating Glass-Steagall.
Let me see. I have Donald trump a proven businessman or republican politicians who never worked a day in their lives. I’ll trust Donald. Next...
Definitely an excellent idea.
Later, under the honorable Billy Bob Clinton, Glass-Steagall was repealed and the Banksters were released to wreck economic havoc.
Smart FReepers, do I have this about right?
Bill and Hillary Clinton are responsible for the repeal of Glass-Steagall and the repeal of Glass-Steagall and the Community Reinvestment Act was directly responsible for the Housing Bubble and Sub Prime Mortgage Implosion that took down our economy in the last decade.
The Clintons, especially Hillary (CRA was her baby), and the Democrats wanted to vastly expand the CRA and were pressuring banks with Occupy Wall Street and #BLM style protests and threats of Federal law suits if they did no lend money to people who did not qualify for loans and could not pay them back.\
When pressed, the bankers told the Clintons that they had a legal fiduciary duty to make sure money only was lent to qualified borrowers with proper down payments and were legally prohibited from loaning their banks widows and orphans savings money to dead beats.
They also blamed Glass-Steagall for not allowing them access to other types of investment funds other bank deposits.
So they cut a deal with the Clintons
The Clintons and the Democrats would repeal Glass-Steagall which would allow banks to solicit funds to form investment pools to make CRA loans to probable deadbeats..
In return for the repeal of Glass-Steagall would package the loan portfolio into synthetic securities called derivatives with various tranches representing differing degrees of risk and return.
This allowed the banks to package high risk home finance to deadbeats as AAA securities
This drove the Housing Bubble to astronomical levels and when the bubble crashed along with the sky high inflated home values it put a hurt on the economy that we have yet to recover from - thanks to the irresponsible actions by Barak Obama’s Administration and Hillary and Bill Clinton.
Not sure if Glass-Steagall is a good idea at this point but it is good politics because , after 8 years of Obama, we are facing the potential for the Mother Of All Financial Corrections so redoing Glass-Steagall puts Trump and his political movement out in front of the looming crisis
Uh oh.....K Street is gonna want a refund.
“This law should never have been repealed.”
I agree and was appalled at the time it was. Since then, branch banks have turned into piranha aquariums where short-skirted bankeretts wheedle the Ma and Pa Kettle rubes into buying over-priced and under-performing proprietary mutual funds. I’ve seen ‘em in action in their goldfish bowl cubicles, and have met some of these bankeretts socially, who barely know the difference between a dime and a nickle, but DO know how to wear a cute skirt.
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