De-regulated banks crash!!! Here are some insights into recent crashes of big banks.

In recent decades Republicans (and a few “corporate Democrats”) have “de-regulated” banks.  This means they abolished the protections that have protected us since the 1930s from reckless, stupid and corrupt behavior by banks.  This led to the gigantic crash of 2008, which hurt many millions of Americans (and caused many to lose their homes). More recently, the Republicans (and a few “corporate Democrats”) DE-REGULATED BANKS even worse.  This led to several gigantic banks crashing in March 2023.

In 2009, the very experienced U.S. Senator Dick Durbin said this about the U.S. Senate:  “Frankly, the banks own this place.”

In March 2023 several gigantic banks crashed.  De-regulating them in recent years was part of what caused them to crash.  These resources provide more information and insights:

 

On March 15, 2023, Bernie Sanders wrote:  “In America today, if you’re a wealthy vulture capitalist with over $250,000 in uninsured deposits at a loosely-regulated bank, the federal government will guarantee that your money is safe in a weekend. If you’re a struggling working person with no health insurance and get cancer, you’re on your own. That’s what Martin Luther King Jr. would call ‘socialism for the rich and rugged individualism for the poor.'”

 

Article posted March 13, 2023:  “Why the Banking System is Breaking Up”:   Why the Banking System is Breaking Up

 

Article posted March 14, 2023:  Economics professor explains why SVB and Signature Bank failed so fast:   https://www.alternet.org/svb-signature-bank/?recip_id=22838&list_id=2

 

Article posted March 14, 2023:  How ‘new technologies’ and ‘inadequate regulation’ hastened SVB’s ‘predictable’ collapse: economist:   https://www.alternet.org/silicon-valley-warren/?recip_id=22838&list_id=2

 

Article posted March 14, 2023:  Bankers Lobbied for Deregulation, Congress Capitulated, and Now Banks Are Collapsing:  The Silicon Valley Bank collapse doesn’t require a bailout. It requires stronger bank oversight and the repeal of the 2018 “economic growth” act.  https://www.thenation.com/article/economy/silicon-valley-bank-congress-deregulation/

 

Link to March 14, 2023, Democracy Now! broadcast and transcript:  “How Silicon Valley Bank & Signature Bank Lobbied to Weaken Regulations That Could Have Prevented Collapse”  https://www.democracynow.org/2023/3/14/svb_signature_bank

 

Article posted March 13, 2023: “Long Before Silicon Valley Bank’s Collapse, Its CEO Helped Kill Tougher Oversight of Banks Like His”  Greg Becker successfully pushed Congress to weaken risk checks enacted after the 2008 financial crisis.  https://www.motherjones.com/politics/2023/03/silicon-valley-bank-greg-becker-dodd-frank/

 

More articles were posted — and several persons have recommended sensible solutions.  Contact me if you want more.

 

 

 

 

 

 

 

 

 

 

 

 

About GlenAnderson 1506 Articles
Since the late 1960s Glen Anderson has devoted his life to working as a volunteer for peace, nonviolence, social justice, and progressive political issues. He has worked through many existing organizations and started several. Over the years he has worked especially for such wide-ranging goals as making peace with Vietnam, eliminating nuclear weapons, converting from a military economy to a peacetime economy, abolishing the death penalty, promoting nonviolence at all levels throughout society, and helping people organize and strategize for grassroots movements to solve many kinds of problems. He writes, speaks, and conducts training workshops on a wide variety of topics. Since 1987 he has produced and hosted a one-hour cable TV interview program on many kinds of issues. Since 2017 he has blogged at https://parallaxperspectives.org He lives in Lacey near Olympia WA. You can reach him at (360) 491-9093 glen@parallaxperspectives.org