About This Blog
If there's anyone left who still thinks the Great Free Market Money Shufflers on Wall Street operate any differently from, say, just your average, everyday, run of the mill, criminals......they should take 4 minutes to watch this....
Who would have thought Senator Carl Levin (D-MI) had such a potty mouth, huh?
Goldman was pushing mortgage derivative paper bets long after they knew themselves that investing in that derivative paper was, "a sh*tty deal."
Not only did Goldman knowingly and aggressively market,...."top priority".... mortgage derivative securities after they knew the stuff was junk, but they also bet the house on those same mortgage derivative securities going bust. Goldman received billions from AIG's taxpayer bailout, and those billions were to pay for the winning bets (credit default swaps) Goldman had put down on mortgage derivatives going sour.
That's how Wall Street works.....most of the time.
That's how it worked during the Dotcom craziness on the stockmarket. That's how it worked when Enron traders were yukking-it-up about grandma losing her pension as they manipulated California's electricity market. That's how it worked in the $4 per gallon gasoline grand theft caper pulled off by a handful of commodities traders.
Atrios explains, in just a few words, the heart of the problem associated with the money and paper shuffling industry....
Some day I hope more people realize that large segments of our economy don't actually do anything (health insurance, much of finance/real estate), they simply position themselves in the middle of transactions and take their cut. That isn't to say there are no transactions which legitimately require skilled middlemen, or that there is no legitimate function for the finance and banking industries, but to a great degree the skimmers just don't do anything productive at all. Except take our money.
These guys in insurance, banking, stockbrokering and the like, "don't actually do anything." These guys are "skimmers."
Oh sure, they go to work everyday, making sure to shower and dress up before they go....and sure enough, these shufflers have clients who give them money all the time. But they don't do anything productive.
Instead of producing anything, instead of even funneling investor money into businesses and ventures that actually produce something of value...the shuffling industry focuses almost entirely on creating new paper shuffling "financial products". "Complex financial instruments" which mere mortals could never fully comprehend and appreciate. Of course, banks and insurance companies don't really have any products....or instruments. Not at all....and they never have had. But, as Atrios mentions, they're always there to take our money anyway.
The skimmers, rather than being Masters of the Universe, rather than being highly intelligent and a rare species of Exceptional American Business Leader,.....exceptionalism only found in $1 million plus yearly salary habitats....are,....when all the bullsh*t has been shoveled away.....valueless.
Here's the "Fab" one, Goldman Sachs VP Fabricio Tourre, in an e-mail not written to be seen by any non-Masters of the Universe....
“…More and more leverage in the system, the entire system is about to crumble any moment…the only potential survivor the fabulous Fab (as Mitch would kindly call me, even though there is nothing fabulous abt me…) standing in the middle of all these complex, highly levered, exotic trades he created without necessarily understanding all the implications of those monstruosities !!!“
Fabulous Fab had no idea what he was doing. He didn't understand the implications of all those "financial products" transacions he was making.....and didn't, apparently, give a damn, either. What Fab did have on his mind though was how fabulous he really was....carrying out his Indispensable Work as a Serious Professional en route to destroying the futures of millions of Americans.
Good on Carl Levin for speaking down to the arrogant pr*cks from Wall Street. And especially so because these financial legends-in-their-own-minds actually believe what they do is oh-so-important and valuable to America. Indispensable, some even say. Irreplacable, they think they are.
The truth is that these guys are valueless assh*les who skim every paper and money shuffling transaction they can while simultaneously producing nothing......except a severely depressed American economy.