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We all know the story by now: the repeal of Glass-Steagall in 1999 led to the housing bubble, the subprime meltdown and the global financial crisis . . . right? What do we really know about Glass-Steagall and how do we know it? Today James peels the layers off another long-standing alt media myth and discovers a surprising and cautionary tale about how the banksters can manipulate us into doing their dirty work for them.
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SHOW NOTES
| Glass-Steagall, The Complete Story… | |
| Time Reference: | 01:02 |
| Signing of the Gramm-Leach-Bliley Act | |
| Time Reference: | 01:50 |
| 2007: The subprime meltdown | |
| Time Reference: | 02:44 |
| Cramer: Bernanke, Wake Up | |
| Time Reference: | 03:01 |
| closing bell – bear sterns debacle 14 march 2008 | |
| Time Reference: | 03:24 |
| The Fall of Lehman Brothers | |
| Time Reference: | 04:24 |
| Explaining Glass-Steagall | |
| Time Reference: | 05:22 |
| Fall of the Republic | |
| Time Reference: | 06:22 |
| Dodd-Frank, Glass Steagall & Wall Street | |
| Time Reference: | 07:18 |
| Hartmann: Bring Back Glass-Steagall Act | |
| Time Reference: | 07:40 |
| Episode 288 – Open Source Journalism | |
| Time Reference: | 08:03 |
| Glass-Steagall Reintroduced (HR 790) | |
| Time Reference: | 10:14 |
| H.R. 790: Return to Prudent Banking Act of 2017 | |
| Time Reference: | 12:01 |
| Interview 1276 – G. Edward Griffin Debunks the JFK/Fed Myth | |
| Time Reference: | 12:41 |
| Carter Glass biography from the Federal Reserve Bank of Richmond | |
| Time Reference: | 19:16 |
| Glass–Steagall Act of 1932 | |
| Time Reference: | 20:24 |
| Banking Act of 1933 | |
| Time Reference: | 21:48 |
| The Glass–Steagall provisions separating commercial and investment banking | |
| Time Reference: | 22:41 |
| Tom Woods Show Ep. 638 Did Deregulation Cause the Financial Crisis? | |
| Time Reference: | 28:54 |
| Is Barney Frank? | |
| Time Reference: | 35:56 |
| Hidden in Plain Sight: What Really Caused the World’s Worst Financial Crisis and Why It Could Happen Again | |
| Time Reference: | 39:46 |
| The Separation of Commercial and Investment Banking: The Glass-Steagall Act Revisited and Reconsidered | |
| Time Reference: | 49:52 |
| Exploding the Glass-Steagall Myth | |
| Time Reference: | 50:51 |
| Separation of Commercial and Investment Banking: The Morgans vs. The Rockefellers | |
| Time Reference: | 59:47 |
| What Would Be Wrong with Trump Restoring Glass-Steagall? | |
| Time Reference: | 01:10:34 |
| The Glass Steagall Act – The Useless Eaters USA | |
| Time Reference: | 01:17:52 |
Well speaking of getting the facts straight, I have no idea why I was calling it the “Public Banking Act of 1933” throughout this episode. It is actually the “Banking Act of 1933” and the link to the text of the act is in the show notes above.
Looking forward to reading your responses to the “pause challenge!”
Despite being the typical Canuck who is ashamedly and significantly better acquainted with ‘Merican “facts” than with Canadian, I will accept your challenge, cross the fine line that separates bravery from stupidity and admit I know absolutely nothing about Glass-Steagall.
Very shortly, the ONLY thing I will know about Glass-Steagall will be what I pick up from Episode 317.
Another great one James. I suppose the business of learning “truth” is the questioning of our suppositions over and over again. Constantly honing our internal map of the world to a finer and finer resolution and consistency. It is very easy to glob on to ideas that fit consistently into this map and miss those ideas which require revision of the map. We always long to have a finished map, a world view which we can lay down on the terrain which will fit no mater when or where we are. A guiding understanding which is clear and crystalline on all occasions. So we jump to conclusions based on ideas which fit our map. And that makes us very vulnerable to well crafted propaganda. Human nature I guess. We love to find ideas which fit the map and dislike finding ones which don’t or worse ones which partly fit. When this happens I always retreat to the sobering thought that the map can never be the reality. Just as a geological map can never be the path physically walked. And the internal map is really a process we will never finish.
Okay… I am at around the 15 minute mark of the video (Writing what I know about Glass-Steagle). https://www.youtube.com/watch?v=dLxRUewl-F0&feature=youtu.be&t=15m53s
Heck, I don’t know much about it, period. Only that it was some kind of banking or investment regulation. I even would end up misspelling Glass-Steagle, except it is written here. I have only vague cloudy ideas of hearing the term before mentioned by many people in regards the 2008 collapse. Even the Clinton era repeal is a nebulous memory to me.
I do know though, that the 2008 collapse really beat me up.
Recently, I looked up OTC Over The Counter Stocks (which is not a “centralized” exchange) and saw a blurb about the 2008 collapse, but it did not mention Glass-Steagle. https://www.corbettreport.com/what-are-you-going-to-be-when-you-grow-up/#comment-38612
(An aside: I like that Corbett term “Congress Critters”.)
The Glass Steagall Act was a reactionary bill passed under the Roosevelt administration (Teddy? Franklin? Not sure) whose stated purpose was to provide a security blanket against the economic conditions that led to the Great Depression. I believe it was drafted and enacted in the 1930’s by congressmen Glass and Steagall, who the bill is named after. I know nothing about either Glass or Steagall nor anything about their personal motivations for wanting this bill to exist.
The GSA supposedly placed shackles on banks by restricting what they could do with their capital in one of two ways, depending on how they chose to classify themselves; either as investment banks or as commercial banks. Investment banks were allowed to use their capital to speculate on the open market and commercial banks, which handled and facilitated every day transactions and private savings accounts, could not speculate on the open market. The thought was that ordinary people’s savings would be sheltered from speculation and thus experience lower risk with these restrictions in place.
During the GSA’s lifespan, the US economy saw a prolonged period of unparalleled prosperity, but as we know, correlation does not always imply causation. I am unsure how the GSA promoted a healthy economy or if it were a significant factor in any way.
Glass Steagall met its demise under the Clinton administration in the 1990’s. Bill Clinton was and is a loyal agent of the Deep State, so everything he did and does must be evil… right?
Welp, can’t say I didn’t try. Thanks or making me to this exercise though, James. I enjoy having my preconceived notions challenged.
– Comment Box –
On a computer, at the very bottom of the webpage are the words Leave a Reply with a comment box underneath that title.
You will probably see 2023 comments mostly on the lower half, with 2017 comments to the north.
GS is a law (is it a law?) which was introduced, I want to say during the 60es but I’m just guessing here, as a measure aimed to wrest some control on those pesky globalist bankers. It supposedly led to much prosperity, (for the US middle class anyway) until ole Bill brought it down and enabled what later became the dot com bubble, adding fuel to the fire for the later real estate bubble and whatever comes after the zombie economy of today gets a fresh thirst for braaaains.
Either way, I’d say debt printing and especially fractional reserve lending i.e. uncontrolled debt/credit creation is what got us into this bind we’re in today, with about 3-5% of currency in circulation being cash, the remainder being credit.
Regarding Peter Wallison’s book Hidden In Plain Sight, some factual errors have been identified in the Amazon comments section and elsewhere:
A VERIFIED PURCHASER WHO READ IT: It’s the same stuff he’s written dozens of times before. Don’t waste your money.
ByNYC Reader1on January 13, 2015
Format: Hardcover|Verified Purchase
How dumb does Wallison think we are? Answer: Very
If you want to read what he has to say, read Wallison’s FCIC dissent, countless Wall Street Journal op-ed pieces or AEI blogs, or the litany of other books that hew to the AEI party line, which is affordable housing caused everything to go bad.
He always says that about half of US mortgages were “subprime or of similar quality.” But he never attempt to reconcile that designation with actual loan performance. According to Mark Zandi’s numbers, Fannie & Freddie realized 14% of total housing losses, whereas Wall Street’s private securitizations represented the majority of the losses.
http://archives.cjr.org/the_audit/the_nyt_spread_the_big_lie_of.php
https://www.economy.com/mark-zandi/documents/2013-06-26-Resurrection-of-RMBS.pdf
MERS
A great episode Professor Corbett. I feel like I attended the class, Wake Up, you are being played 101. It’s hard to not feel like one of the sheeple.
This is an interesting experiment. Game on! I understand that the Glass/Steagall Act of 1933 was passed as part of FDR’s New Deal reform legislation and was thought of as creating a “Chinese Wall” between commercial banking and investment banking. Banks that generated their income from these two sub-sectors were forced to de-merge into separate entities with separate balance sheets, reporting, directorates, etc. This was done to avoid repeats of early-1930s financial catastrophes, whereby banks that maintained savings deposits on behalf of their customers (traditional retail banking business of relending customers’ savings), while at the same time assuming significant risks in their trading and/or issuance of securities (speculative business on behalf of “sophisticated” and wealthy enterprises) had gone bust through some ill-fated speculative enterprise in the latter business category, and, as a result of the two types of business being conducted under one roof, had not only wiped out their securities trading/issuance capital but also the savings accounts of their retail customers along with it. The idea, as far as I understand it, was to shield the ordinary, money-saving public from the excesses of speculative activity in which they neither participated in the first place nor ultimately would profit from, if successful.
Good idea. Glass-Steagall has been one of my talking points.
However, surprisingly, when I did take a money and banking course, the teacher made a special point to go over the ’08 bubble, and never mentioned Glass-Steagall. Instead, we were taught that it was the credit default swaps (CDSs) and Credit Default Obligations (CDOs) and their overrated nature through the ratings agencies (all obviously bought out by the people who have owned the banks for so long). The bad loans (mortgages) were a part, to be sure, but the fact that the bad loans were given higher ratings than they should have — being bundled up and averaged out ’til only the most patient could untangle them — and the sheeple-bankers bought into it, was a huge part. Others I have read point to the cyclical nature of the market, but also point to the mathematician/economist who came up w/ the happy lackadaisical equations for them.:-)
https://www.youtube.com/watch?v=P160_odTwyY
I have, for a very long time, thought markets were cyclical. The pattern can be discerned and made better or worse… besides the point when you know how to automate almost everything.
As an aside, I would personally consider 3% or thereabouts to be an ideal inflation rate, w/ good investments in technological innovation, which has been about the average since The Federal Reserve, w/ notable exceptions. Given the resurrected nature of humanity, however, all of that really ought to be moot. From the beginning, there should have been proper teaching and abundance for all, IMHO. Those UFOs Mr Corbett doesn’t like talking about happened in antiquity and long before even the Nazi Bell, U2 the CIA likes to talk about, and the TR-3B. Resurrection, also, after all, is science and only a miracle to those w/o the knowledge of the science…
The markets themselves were antiquated many thousands of years ago.
When the gushing torrential water tosses stones pushing boulders, it is because of the force of its momentum.
When the ferocious strike of a falcon breaks the body of its prey, it is because of the timing of the strike. Thus the forces and momentum of the adept in warfare are so overwhelming and ferocious and his timing of engagement is precise and swift.
Thusly will the NWO be dealt with.
The first planet with sentience happened many, many, many millions of years ago… in a galaxy far, far, far away.
https://www.youtube.com/watch?v=Xh0ZrcwmJd4
https://s-media-cache-ak0.pinimg.com/736x/82/9a/98/829a9822d9e72307cce21208409af627.jpg
… And they wouldn’t have done anything worse until somebody threatened and then delivered.
– KK Samurai
Why indeed did they turn to fake beheadings and fake shootings and fake bombings and fake semi attacks? Probably because someone was super-duper extra nice after they mass-murdered tons of people and callously started wars that killed millions of innocent people?
Hello James.
You again turned my understanding upside down. Thank you for this episode and the good presentation of the topic.
I must however point out that I am still a bit offended by your recent conversation on the Corbett Report Extras with Sybil Edmonds, where you at the end pointed out that the YouTube comments are “useless” and that you never look at them. I have all these years put a lot of thought into placing good comments there. So all useless, well, that was worth the time then.
I’m totally with you James on people generally taking things at face value, and as a history graduate and former journalist, if I’m very interested in an issue I tend to look at the sources and check on the facts. BUT I haven’t done that with Glass Steagall.
From the top of my head, I think it was a US act that was drafted in the 1930s in response to the Wall Street Crash and Great Depression to prevent banks from using investors’ money for risky speculation. It was repealed in the 1990s.
Dear Pablo, I’d like to disagree with you on the bitcoin/alternate currency front.
The problem is not the currency or the monetary system as is because those systems are what you make of them. If you use them for the good, prosperity will follow, if you don’t prosperity will avoid your neck of the woods like you or I would avoid the plague.
Is digital currency out of reach of these psychopaths? I don’t think it is and as such I don’t see it as a solution.
The problem is not the currency, but these elite banking vultures. They will always pray on us and look to suck some blood from our delicious necks. We could deal in paper currency or gold, but they’ll always be there. Even if we’re strong enough to repel their assault, they’ll get a new chance in a generation or two, when our progeny get complacent and think they have it under control.
We can run, but we can’t escape them. Similar to agents in the matrix, they hold all the keys dear Pablo.
There are several ways one can take control of a currency. One can buy into it, big time. As long as digital currency exchanges exist, this a serious threat. More of it they control, freer they are to influence its price.
One can also do so by association, while providing a “true” solution of their own, which is basically the same as the one that is free of their influence.
There are many dangers ahead, dear Pablo. I fear these currencies are nothing but a Trojan horse.
It’s not that type of fear, Pablo. I don’t fear the unknown, but what I do know. People like to flock and history likes to repeat itself. Before a true solution reveals itself, a vast array of false solutions will try and probably succeed to steer us away.
I’m fully aware of my freedom to choose the currency as I see fit, that’s not the point.
At the pause request this is my knowledge of Glass Steagall: FDR ordered an inquiry to seek the causes and solutions to the Great Depression. One group of economists blamed the banking class and easy credit leading to a stock market bubble largely based on margin loans. Their solution was entailed in the ‘Chicago Plan’ which called for the power to create money, and therefore credit, to be returned to the government. The bankers of course greatly opposed to losing this omnipotent power came up with Glass Steagall and some other legislation under the Emergency Banking Act (?) to save their position and to more easily tie the American population to be the debt slaves of their system. FDR was later to reportedly to have said that ‘we saved capitalism from itself’ or words to that effect. He did neither of course.
The human sufferings around the world are unimaginable by most of us who have no memory of that time especially as those older generations have passed or are very quickly passing. As a teen I was greatly interested in the remembrances of my parents and grandparents who lived through the G.D. Stories of my Grandfather bringing strangers home for a meal, wash up and a warm bed for the night, or a few days stay if a person was particularly worn down and beginning to starve. Bankers in their greed are always finding new ways of destroying the economy we all rely upon for our living.
I enjoyed this exercise in critical thinking. But it depresses me to think about what an uphill struggle we have in coaxing people to dare to venture outside their programming.
Yesterday evening during a family meal, the subject of Richard Branson came up. My maths teacher brother-in-law, enthusiastically supported by my University Professor sister, said: “Did you see those photos of Branson kitesurfing with Obama? What a cool guy!” I didn’t feel like starting a family row, so I quietly changed the subject.
I have enormous respect for my sister and brother-in-law for their work, but when it comes to politics and world affairs, they cling tightly to their ideology, like most “intelligent” and “educated” people. With that level of critical thinking and left-right paradigm programming, which is so widespread, ESPECIALLY among the “intelligentsia”, where do we even start?
I would have destroyed the atmosphere during that meal, I don’t think I would have been able to keep my yapper shut.
You could have said “oh, lets see what’s new on TeeVee and then covertly streamed this https://www.corbettreport.com/episode-312-obama-a-legacy-of-ashes/
A version of this video with the fox logo should be made.
Hmm… maybe I’ll try that sometime!
Just to clarify – the reason I quietly changed the subject was not because I’m afraid of controversy, but due to past experience. If I say so much as (in a polite and respectful voice) “Have you ever met Richard Branson or are you going by what his PR agents place in the media?”, or “This is the same Obama that happily gave the go-ahead for drone strikes on families including small children,” this will be the trigger for a big family row, often with people storming out – really because the truth is too tough for them to bear.
I usually get a similarly explosive reaction from “well educated” friends if I politely and quietly dare to question the accepted view on Brexit and other topics – even when I start by saying, “I may be wrong; I have been wrong in the past, but this is how I see it…”
I got that, yeah. Such situations will either lead to cognitive dissonance, of which the news bearer is perceived as the cause, leading to a conflict or… well, that’s it. Ten years ago, I would have reacted the same way.
Even if someone’s imagination is tickled it will probably take days for this person to even get a handle on the situation and maybe start asking some questions.
We missed it, I think. Another one bit the dust two days ago.
https://en.wikipedia.org/wiki/Zbigniew_Brzezinski
Just recently I thought about how this guy doesn’t have long to go, oh well.
I will admit I have not researched Glass-Steagall and have assumed what people were saying is true b/c it has come from so many stories. From the title of this podcast, I am assuming much of what I am about to write is not correct, but here it is anyway:
Glass-Steagall was legislation written in the 30’s during FDR’s New Deal. It separated risky investment banking from people’s savings. So banks could gamble with their own money and not ours. After this was passed, the US experienced the longest period without major financial problems in its history. It was repealed during the Clinton administration. Its repeal played a role in the global financial collapse in 2008 (although the issues with playing games was the major cause, the collapse was also helped along by the repeal of GS). A few lawmakers are now looking to instill parts of GS (separating our money from their money).
I am looking forward to finding out how wrong I am.
I will admit I have not researched Glass-Steagall and have assumed what people were saying is true b/c it has come from so many stories. From the title of this podcast, I am assuming much of what I am about to write is not correct, but here it is anyway:
Glass-Steagall was legislation written in the 30’s during FDR’s New Deal. It separated risky investment banking from people’s savings. So banks could gamble with their own money and not ours. After this was passed, the US experienced the longest period without major financial problems in its history. It was repealed during the Clinton administration. Its repeal played a role in the global financial collapse in 2008 (although the issues with playing games with mortgages was the major cause, the collapse was also helped along by the repeal of GS). A few lawmakers are now looking to instill parts of GS (separating our money from their money).
I am looking forward to finding out how wrong I am.
Corbett: “…It is a fascinating history….”
No kidding. I also enjoyed how things came full circle. Different factions (mob bosses), manipulation ploys on the public outrage, the value of non-prejudicial truth, etc.
Thanks James.
My hope…
I hope some college or High School kid for a History or Government class utilizes this Corbett Report episode for some kind of presentation or class project report.
Heck, I would like to see a Professor use this video for a class.
QUESTION
Is there a connection between “Housing Starts” (new virgin mortgages) in the marketplace and pumping more money into the economy?
I have noticed a rapid increase in real estate prices within the past 4-5 years. Not only for homes, but rents have rapidly climbed way up there. Talk about “real inflation”…whoa boy!
https://tradingeconomics.com/united-states/case-shiller-home-price-index
and
From talking to people who already own a home, getting financing for rental property is relatively easy (no hard bank interrogation – just like Washington Mutual).
As for the cause of the meltdown it would be to the bankers convenience to place the blame on government putting pressure on them, lol Frank threatening the bankers, to lend to persons not qualifying for a mortgage. The bankers were up to their conniving eyeballs in any legislation or other government policies instructing them to bubble the housing market and in the aftermath strip something like 40% of everyday American’s on paper wealth for themselves. While we did have bankers left holding the toxic bag with bundled rotten CDOs and other such financial instruments, they were also trying to flog them as fast as they could and some, like Goldman, even taking the short derivative side against the very packages they were selling to their customers. What is that old adage? I believe it goes something like “Nothing happens in politics [and the financial markets] that is not thoroughly planned.” Derivatives being brought forth in Canada during the mid 80S were once considered illegal. It was also illegal for banks to be on the futures exchange bidding up prices but they managed to weasel their on them…shall I go on and on?
Dear James,
That the various legislative repeals manifest in the Gramm–Leach–Bliley Act of 1999 were not the cause of the sub-prime train wreck and the global credit freeze of 2007 that followed is true enough. But I would nevertheless contend that this act of deregulation did play a central role in the crisis, in ways not touched upon this video. Namely, that the GLBA laid the legal foundation crucially needed by the US authorities to validate and structure their bailout scheme.
For not only did it serve to repeal the Glass-Steagall sections already discussed, but, and perhaps more importantly, it also revoked key provisions of the Bank Holding Company Act of 1956 around which the TARP program as it materialized could not have been structured. In particular, the GLBA allowed for the ad-hoc transformation of gaggle of insolvent Wall Street loser firms into a small number of very large conglomerates spanning financial services that previously could not have been housed under one roof.
Moreover, seemingly with the stroke of a pen, these newly restructured entities were now eligible for financial assistance from the federal government under existing statutes.
Among other very swift consolidations, Gramm–Leach–Bliley allowed for JP Morgan Chase, previously strictly limited to the commercial banking sphere, to now inhale Bear Stearns (an investment bank) for a pittance, while Bank of America could take over Merrill Lynch’s failed business in like fashion. In particular, it afforded investment banks Goldman Sachs and Morgan Stanley specially granted charters as bank holding companies, thus changing them from being essentially firms that had bet the farm and lost one day into the most profitable (and powerful) financial institutions in America (after the Fed) the next. For one thing, these two firms had their pick of which financial services enterprises in distress to mop up and rehabilitate with federal funds at considerable profit.
Hence the oversized bonuses and golden parachutes that Christmas: it was not really a matter of the executives being abnormally greedy at a highly inappropriate time, so much as the fact that with a little help from Congress and the Fed, it really had been a bumper year for them! And when you consider that these firms and their senior executives had long been profiting from their privileged arrangements with the Fed and Treasury (as primary dealers in govt bonds, to name but one example), from their point of view it was just business as usual – and business was rocking.
To conclude, I trust it will be conceded that the financial crisis of 2007/8 was significantly informed by this bullish year (for some) on Wall Street, which would not have been possible (given the utmost urgency and speed with which the bailout operation had to be implemented in order to succeed), were it not for the Gramm–Leach–Bliley Act conveniently having “tilled the soil,” as it were, nearly a decade earlier.
Dear Pablo, it’s Aided, not Added 😀
What kind of CAD work do your perform? I’m in shipbuilding business, sadly we’re stuck in seventies CAD technologies thanks to (what else could it be) failed socialist policies lol
Oh, how I wish we could allow natural progress to get ahead of ourselves and just be happy while doing a lot more with a lot less, but alas. This bullcrap seems to be braided deep into the DNA of masses. It certainly got the better of this ridiculous little society I’m on remote outskirts of.
We’re using a program which was made in 70s last updated in 80es for basic 3D modeling. Its the basis for all 3D operation. It doesn’t have undo not scroll zoom, so you can immagine what we’re working here with.
There are several other programs in use in the shipyard, Autocad among others, but the reason we’re stuck in the (technically speaking) ancient past is of political nature. The IT office which takes care of technical issue has been privatised and is charging the shipyard for its services. Handsomly. People who have interest in those transactions are holding natural progress back.
Glass-Steagall was passed during the Depression era of the 1930s to counter the gambling of depositors’ funds on the stock markets at huge leverage, which in 1929 caused a crisis greater than any before it in American financial annals through a failure of confidence which caused many investors to cash out as stocks slid & caused calls on highly leveraged borrowing that investors couldn’t fund, playing with mostly borrowed money. As a remedy to this dangerous situation, the Glass-Steagall law separated investment (gambling) banks from commercial (deposits) banks, set up the Federal Depositors’ Insurance Corporation (FDIC) to guarantee a minimum replacement of losses per account during bank failures & set up a limit on leveraging of invested funds (I think 12:1). When it was repealed, the investment banks once again could also accept deposits for savings/checking & use that money to buy & sell stocks & securities, usually at increasingly higher leveraging, once again endangering customer funds, & the naysayers of the repeal’s warnings were born out in 2007-8 when automatic sell orders were triggered as the stocks were collapsing in value & nervous investors sold their stock at a loss, so much so that the edifice of profit crashed & trading had to be suspended. The heavily leveraged banks had to come up with the money they owed but couldn’t come up with it because their assets were mostly junk from the burst housing bubble & other rackets they had been practicing, necessitating cash infusions from the Fed in the form of Quantum Easing I & II & III etc., at a practically non-existent interest rate; thus losses were socialized (on the tax payers backs) & gains were privatized (to the people who caused the problem in the first place), creating the greatest disparity of wealth to poverty since 1929.
Previous Corbett interviewee, Nomi Prins perpetuates the myth of the cause of the GFC 2007
” By November 1999, President Bill Clinton signed into law the Gramm-Leach-Bliley Act that repealed the Glass-Steagall Act totally. The abusive marriages of gamblers and savers could once again be consummated.
And who doesn’t remember the result: the financial crisis of 2007-2008 that led to taxpayer-funded bailouts, subsidies, loans, and sweetheart fraud-settlement deals.”
http://www.tomdispatch.com/post/176293/tomgram%3A_nomi_prins%2C_in_washington%2C_is_the_glass%28-steagall%29_half_empty_or_half_full
“If legislation was written only in Latin then the names wouldn’t matter, and we could just take the priest’s word for it.”
I fear that your incredibly apt and incredibly incisive historical analogy will be lost amidst the tumult of this thread. But I noticed it. Very well said.
Secret societies can not function without a secret language. Is the language used as a weapon or is the lack of understanding simply a result of conditioning? When I try reading their doublespeak my brain goes into full panic mode.
Of course, everything the Trumpster phrases is like a NY mobster “we’ll make it better, it’s gonna be brand new, people will love it and it’s gonna be beautiful.”
(Not a left-right thing…4 years ago and all the time before that, Trump was a Democrat so..)
Home ownership rates started rising in 1994.
https://fred.stlouisfed.org/series/RSAHORUSQ156S
Possible reason:
https://en.wikipedia.org/wiki/Community_Reinvestment_Act#Legislative_changes_1994
The wiki page also mentions connections to the repeal of Glass-Steagall, in the sorts of allowing more flexible mergers, probably leading to larger banks who could then provide better support for CRA. From a first glance, that’s the typical “let’s fix the symptoms, not the real issues” problem, probably encouraged by the affirmative action environment, which in itself isn’t a bad thing, but it also shouldn’t be driven too far.
Restore Glass-Steagall:
https://larouchepac.com/glass-steagall
Glass-Steagall:
https://americansystemnow.com/?s=Glass+steagall
Great, in fact, incredible stuff. Probably making the “top ten” best list of all times of the Corbett Report. I had a bit more to say in my Substack “notes,” where I cross-post most of my favorite stories with comments. James sounds very much like another writer, author, teacher I love and respect a great deal, but never knew of him until just last week—a couple years after his death—the late & great John Gatto. I can’t believe I never heard of him until just recently. If you haven’t ever heard of him, and you love pure human greatness, here’s the link, as well as a link to my expanded comments about this great story & author, teacher independent journalist—James Corbett. Sincerely-jeff lubina
https://substack.com/profile/105331799-jeffrey-p-lubina/note/c-21559868?utm_source=notes-share-action&r=1qpmjb
John Gatto, by Tessa Fights Robots:
https://substack.com/@jeffreyplubina/note/c-21234654?utm_source=notes-share-action&r=1qpmjb
John Gatto—direct YouTube link (a Must-Hear 5 hour interview):
https://youtu.be/28uPtl5sWVI
I know nothing about this legislation.
2023 Late July
I am so glad that Corbett revisited and featured The Truth About Glass-Steagall (2017) on the Home Page.
I saw it in 2017, but failed to retain and appreciate much of its substance.
I understand that most people view “financial” stuff like snacking on krackers made of cardboard dust.
I am appreciate Corbett walking us through the “thought process” as he asked questions leading to more and then more insight.
His warm presentation skills were top dog considering the ‘dry’ topic.
With current global events as they are, The Truth About Glass-Steagall (2017) is extremely relevant.
EXAMPLE:
July 21, 2023 …Friday night when a tiny four-branch bank in Kansas failed, becoming the fourth lender to be seized by regulators this year and the fifth to fold altogether.
The Heartland Tri-State Bank, of Elkhart, Kan., is the smallest to go under in 2023 by far. It had $139 million in assets when it went down Friday, according to the Federal Deposit Insurance Corporation.
Move along folks…nothing to see here.
Do not be like your ancestors, to whom the earlier prophets proclaimed: This is what the Lord Almighty says: ‘Turn from your evil ways and your evil practices.’ But they would not listen or pay attention to me, declares the Lord. Where are your ancestors now? And the prophets, do they live forever? But did not my words and my decrees, which I commanded my servants the prophets, overtake your ancestors?
Then they repented and said, ‘The Lord Almighty has done to us what our ways and practices deserve, just as he determined to do.’
Zechariah 1:4-6
I would be interested in Catherine Austin-Fitts (of the Solari Report) view on the 2007/8 financial crisis being created / triggered by housing policies directed by HUD, given she was assistant sec of HUD for a while. If it was HUD behind it all, the real question is: did they do it deliberately, and why?
I knew nothing about Glass-Steagall except that I thought I may have heard the words before.
I quit watching television in 1993, shortly after I left the Republican Party in January of that year, when realized what I had thought about politics wasn’t true.
The only reason I remember hearing for the 2008 financial crisis was that it had to do with Fannie Mae and Freddie Mac and the pressure to lend to high-risk people.