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Why Killing Dodd-Frank Could Lead to the Next Crash


#1

Why Killing Dodd-Frank Could Lead to the Next Crash

Matt Taibbi

In the age of Trump, bipartisanship is considered a sin. So one would think that when Republicans and Democrats do pass a law together, it’d be for something so popular, it couldn’t be questioned politically: a nonbinding resolution on the cuteness of puppies, maybe, or a national ice cream giveaway.

Nope. The rare bipartisan bill turned out to be a rollback of the Dodd-Frank financial-reform act. More than 80 percent of Democrats and two-thirds of Republicans want tougher rules on banks. Yet this was our Trump-era kumbaya moment: a bank deregulation bill!


#2

“COULD lead to the Next Crash” ?

There is no “COULD”. Dodd/Frank and the destruction of New Deal regulations by Saint Ron, his five successors and the best congress money can buy set us up for the next crash. We are bowling pins waiting to be knocked down.

The “bail-in” provision of Dodd/Frank will, however, never be killed by Trump and the best Congress money can buy. Bail-in enables banks to confiscate depositors’ money to bail themselves out.


#3

The headline is way off. It should read, is leading to the next crash. Countries all over the planet are dumping the U.S. dollar for gold, the metal. The auto sector will go soon, too many bad loans and leases. Commodities as well. Want to know what is happening with stocks and commodities? Watch the price of pork bellies. These big banks will not survive the tariff wars. This time the crash will be global. Hang on to your hat. It is coming soon.


#4

Hold on to your hat and tighten your belt. Here’s Bill Black:

Peace
Po


#5

Besides the shitty Dodd-Frank act, the old Glass-Steagall act of 1933 needs to be reinstated. Banks should be broken up. But no, the vampires will suck the rest of the remaining wealth away from the 80%. Yep, hang on to your hats the collapse will be like nothing ever experienced before. Money will be superfluous, only precious metals and commodities will be worth anything. Guns will be very valuable as disorder replaces civility. Food will be scarce, fuel scarcer.
Chaos will ensue. Scary indeed. Beware. Wars for resources follow. The planet overheats, humans perish…


#6

A prime example of why bipartisan is almost always bad. About the only time both parties support a bill is when their corporate backers tell them to.


#7

Sad to say but it will take a humongous crash to put the brakes on this monetary policy insanity. You can bet the oligarchs will have moved their money before the bottom falls out leaving the public to take the hit. It’s all part of the oligarch long game to abscond with Joe Sixpack’s money.


#8

Where are the names of the Democrats who helped pass this bill?


#9

The next crash is already baked into this rancid pie.
The first thing that Trump and the GOP congress did was make sure that the Big Banks will be able to get bailed out when the next bubble pops. They have all lined up their golden parachutes. Parachutes paid for by our tax dollars. That’s the rub. They are about to once and for all destroy any semblance of what was our “great republic.”


#10

It will continue to be a “great republic” for the 1%.The 99% will have only memories of what the middle class was.


#11

Wealth does not disappear, it is only transferred.
There is nothing accidental about these so called “crashes”, as evidenced by the fact that the people ultimately causing them always windup considerably richer.
The collapse of the dollar is a foregone conclusion. If not for the US army artificially extending its lifespan it would probably have collapsed under Nixon after he defrauded America’s allies and officially turned the dollar into a fiat currency.
The next “crash” will probably spell the end of the US dollar, but do not expect the FED to simply give up the power that comes from printing the world’s reserve currency.
I have no idea what they have planned, but i am expecting a wealth transfer far beyond anything we have seen to date.
The best investment anyone can make right now is probably to convert any currencies they hold into physical assets, and keep their wealth out of the reach of banks.


#12

From 1790 until FDR’s New Deal regulated Wall Street there was a “panic” each decade that enriched the 1% at the expense of the 99% .

Although revisionist historians make these “panics” look like accidents , they were indeed contrived to keep the workers impoverished while the wealthy became wealthier.

Corporate control of gubmit has destroyed the New Deal so expect serial “panics” for the rest of your lives.


#13

Here is a good explanation of the ongoing, built-in crisis of capitalism by Professor C.P. Chandrasekhar, Professor of Economics at Jawaharial Nehru University in New Delhi, India:


#14

If you read Plato’s The Republic it becomes apparent that this US system of capital accumulation–not just Trump but his administration is the logical and extreme result–is a veritable parody of the perfect state based on the four cardinal qualities: wisdom, courage, disciple, and justice.


#16

I just posted a link for you, but when I tried it it didn’t work. Just enter “s2155, roll call vote” into the search engine, and you will get the info you want.


#17

You can find a list online. However, all you need to know is Chuck Schumer (who is massively in the tank for Wall Street) didn’t try to stop it. He could have killed it with a “motion to proceed”, which needs a simple majority to even consider a bill. Since some Republicans balked at it, if Schumer had a spine he could have used his “leadership” position to get the Dems in line. But, of course, he WANTED it to pass - he just wanted other Dems to get THEIR hands dirty.


#18

These types of crashes are one of the tools the Capitalists use to shift wealth upwards from the 99 percent to the 1 percent. It also how they transform MONEY wealth (dollars in the bank) into real wealth.

What happens is as prices crash (such as land) those paper dollars they hold are transformed into land. During the Great Depression many millions of small farmers lost their land and those lands came under the control of Conglomerates.

The Government seeks to ensure Liquid Cash remains sacrosanct and protected by the same whereby those with vast pools of it can buy up the real assets for pennies on the dollar. Again in the great depression many businesses were bankrupted and bought for pennies on the dollar by larger firms.

The BOOM bust cycle is integral to the system which allows ever larger pools of CAPITAL to accumulate in a msaller number of hands.


#19

Just to butt-in a bit. We can blame Madison. He didn’t want a true republic. The intent of the structure of Congress was to give the house over to the common working man and the senate was for the rich, as an example of why the Constitution is written the way it is. It wasn’t a big step up from feudalism but from a monarchy. Noam Chomsky did a talk in this, I don’t have the youtube link handy but he explains it really well.


#20

Thanks, I have been watching Richard Wolff on this subject as well.


#21

It’s not hard to convince people that the Republicans are depraved, corrupt and totally subservient to the unelected tyranny of money. The real question is why do people think that the Dems are any different?