Tuesday, September 16, 2008

The D Word

Trying to get a handle on the current financial meltdown?

Start here.

Then go here.

And then go here.

I don't know about you, but when I was in school, I was taught that the reason America had a Depression was because banks were also capable of investing as well as taking deposits. When the investments failed, the deposits disappeared, and parks around the country became the residences of so many homeless people they were called Hoovervilles. Here's a picture of the one in Central Park:

The Government responded to the Great Depression by passing the Glass-Steagal Act, separating investment firms from banks, and creating the Securities and Exchange Commission in 1933. In 1999 Clinton signed the Financial Services Modernization Act, effectively repealing Glass Steagal, proving once again that nobody in this country learns from history, particularly its so-called leaders.

See you on the bread line.

1 comment:

Anonymous said...

Bread line ... no kidding. I'll let you cut because I love you!