Here is an example of how government creates problems.

[David Horn]

(05-20-2017, 07:18 PM)Galen Wrote:

(05-20-2017, 03:35 PM)Warren Dew Wrote:

(05-20-2017, 09:02 AM)pbrower2a Wrote: Recovery. Things start to go right. There are fewer bankruptcies. Jobs open, and people laid off go back to work. Personal debt starts getting cut into, and loans in default are lesser in number and severity.

One does not go from the delusional prosperity of a bubble through the recognition of its failure to an achievement of prosperity that fits the delusion of the late bubble overnight. But frauds must be liquidated. Delusions of paper profits must become recognition of their falsity. It's like saying that the first step to sobriety after a drunken bunge is the hangover.

The fact that there were frauds and a delusional bubble prove that the regulation was not performing its intended job.  Why keep it around when it doesn't work?

In fact, many of the frauds survived by the Fed and TARP.  AIG and the too big to fail banks are prime examples of this.   It seems far more likely that the liquidation would have been much faster and the one percent almost certainly would have lost much in this process.

Seems like an appropriate outcome to me.

Do you honestly believe that the power brokers would have allowed a solution that impoverished them?  That's especially true when the GOP is in power, so advocating for the impossible is just blowing smoke.  If you want to sideline the wealthy and powerful, you need to do exactly the reverse of what you seem to believe is right: disallow outside money in campaigns at all levels by publicly funding them.  This will require an amendment to the Constitution, so put on your hip-waders.  You'll be spending a lot of time actually draining the swamp, not just talking about it.