Thursday, March 15, 2012

What Lessons Did Wall Street Banks Learn From The Near Global Financial Collapse They Helped To Cause?

As no-one was ever held accountable for any of the massive wrong-doing, and the firms got bailed out at taxpayer expense and most of the same people are still in charge of their firms, and making massive bonuses, it would appear no lessons were learned.

We even have a new concept, "too big to fail" in which taxpayer bailouts will apparently materialize again should the need dictate. And the 10 largest U.S. banks now control 77% of the nation's banking assets.

Yet Greg Smith, A Goldman Sachs middle manager yesterday quit the firm and The New York Times published an opinion piece he wrote condemning the business practices of one the most notorious of those Wall Street banks, Goldman. http://dealbook.nytimes.com/2012/03/14/public-rebuke-of-culture-at-goldman-opens-debate/?nl=todaysheadlines&emc=edit_th_20120315

Thank you to Mr. Smith for speaking up, something no-one else at these big banks has had the courage to do. It is my desire that this leads to new government scrutiny and regulation but given the huge campaign contributions these banks make, that is unlikely. And if there is no public uproar, in a 24 hour news cycle always chasing the next story, it may soon disappear. But I'm pleased that a man of conscience raised his voice and sacrificed his job, despite the veiled threats he'll never find another job on Wall Street. Life has so much more to offer than compromising one's principles to make large sums of money on Wall Street.

Dick

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