I just saw the clip up on that web site now. What did she say that revealed her ignorance?
Under Glass-Steagall, major investment banks such as Drexel Burnham and Salomon Brothers failed without creating serious contagion in the broader economy.Drexel-Burnham failed because it was engaged in criminal activity, not because it did risky investments.
Salamon Brothers didn't fail. It was bought out.
But in the post-Glass Steagall world of the 2008 crisis, the failure of investment banks like Bear Stearns and Lehman threatened the entire economy.It wasn't those failures that threatened the economy. It was the freezing of liquidity. And neither of those banks actually had full banking; if they had had large commercial components, they would have had the liquidity to survive, as others did.
The point isn't whether some changes that might be similar to parts of glass-seagal would be useful; her arguments were simply silly.