The Audacity of Regulation
Pic credit: Obama unicorn guy
On this national day of mourning in honor of Ben Bernanke's second term (I declared it, bitches), just look at the painting above and think it could be worse. As WC Varones put it, we could have ended up with the corpse of Alan Greenspan back in the saddle again.
No wait, here's a better shot of everyone's favorite homicidal maniac:
Anyway. We get Bernanke for 4 more years but I hope we can put that into perspective. How fucking long will we put up with this shit? Name this decade:
"In the South and Southwest, particularly, you've had banks getting away with murder for years -- racial discrimination, redlining and dealing almost exclusively in commercial loans," said New Orleans neighborhood activist Michael Shea, national director of housing and banking campaigns for ACORN, the Association of Communities Organized for Reform Now. "I think the Atlanta Fed (Federal Reserve Bank) is shielding the banks from the public."
Regulators say evidence of disproportionate lending patterns is not enough to cause a bank to be penalized.
"It's not our job to allocate the credit geographically. We don't have hard and fast lines on that," Governor Seger of the Federal Reserve testified. Proposed changes in the law
This contentious triumvirate of bankers, community groups and regulators is lobbying now as Congress considers several proposals to improve enforcement of the CRA.
If names were not attached (yeah don't try to cheat and Google it), would you even know the difference between a decade ago and today? How about 2?
A test that few banks fail -- in federal eyes Regulators say 98% obey lending law, but skeptics say communities shorted
By Bill Dedman, The Atlanta Journal-Constitution
Published May 3, 1988, Page A1
I will ask you again how long will we put up with this shit?
(h/t this OG of central banking - who knew this stuff could be so interesting?)