SocraticGadfly: Man bites dog – Greenspan on banks

October 16, 2009

Man bites dog – Greenspan on banks

Whoda thunk this? St. Alan of Greenspan says “too big to fail” banks should be broken up.
“If they’re too big to fail, they’re too big,” Greenspan said today. “In 1911 we broke up Standard Oil -- so what happened? The individual parts became more valuable than the whole. Maybe that’s what we need to do.”

Of course, until he actually says that before Congress, when (if?) it starts hearings on a financial system regulation bill, then we’ll know he’s serious.

And, when (if?) he apologizes for his part in causing the economic clusterfuck that led to banks merging into “too big to fail” entities, then we’ll know he’s really, really serious.

At the same time, as the story, makes clear, he hasn’t changed his Randian economic stripes. He favors the discipline of the market, refusing to admit there is no such thing as a “free market.”

And, never will be.

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