About this series:
Laura Flanders talks to creative thinkers and change-makers from the worlds of politics, arts and the new economy. The smartest conversations, with the smartest thinkers and doers of our time, distributed in multiple formats on a variety of platforms. Keep abreast of fresh content by following GRITtv, the site Flanders founded, on Twitter @GRITtv.
In his second so-called presser, Barack Obama laid out a sober case. His government will get the economy out of recession, into recovery and ultimat...
In his second so-called presser, Barack Obama laid out a sober case. His government will get the economy out of recession, into recovery and ultimately back to prosperity, he said, but it'll take months and a lot of work.In addition to months and work, Obama made a case for more power for government. The Obama administration seeks to expand the government's power to seize control of supposedly too-big-to fail financial institutions in the same way it has the power to take over banks."It is because of the lack of authority that the AIG situation has gotten worse," Barack Obama said Tuesday night. It sounds comforting. Until you think about it.Is the problem lack of authority and control or the way Wall Street's used its influence to make sure Government worked on its behalf?Who's actually conducting oversight? Consider Gary Gensler, a former employee at Goldman Sachs who President Obama nominated to head the Commodity Futures Trading Commission (CFTC).Senator Bernie Sanders has placed a hold on Gensler's nomination. A statement from Sanders’s office said: "While Mr. Gensler is clearly an intelligent and knowledgeable person, I cannot support his nomination. Mr. Gensler worked with Sen. Phil Gramm and Alan Greenspan to exempt credit default swaps from regulation, which led to the collapse of A.I.G. and has resulted in the largest taxpayer bailout in U.S. history. He supported Gramm-Leach-Bliley, which allowed banks like Citigroup to become “too big to fail.” He worked to deregulate electronic energy trading, which led to the downfall of Enron and the spike in energy prices. At this moment in our history, we need an independent leader who will help create a new culture in the financial marketplace and move us away from the greed, recklessness and illegal behavior which has caused so much harm to our economy."If you're going to support more government power, you've got to ask: Power for whom and to do what? As our guest Matt Taibbi points out, the economic crisis isn't about money. It's about power. It's not that the government wasn't working hard as the crisis grew. It was working hard enough, but mostly for the banks.
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