I wanted to share with you this this
purple alan greenspan see this is this is part I've been II
trying to explain how did we get into this thing right how did we get here
this economic disaster and yeah
reaganomics is easy answer but the the core foundation other reaganomics comes
out
love libertarianism which was founded in 1946 by the US Chamber of Commerce
as a way of by giving a philosophical and political rationale to leading
businesses run the government basically a fascism
and objectivism
which was I N rans personal variation to the same thing which was that
you know the billionaires in the marketplace will always do the right
thing and workers are stupid and and should have any say in things
and the democracy is a bad thing objective as libertarians do not believe
in democracy
and that's not a slur it simply so simple steps fact
such as some other will proudly proclaim a fact
so alan greenspan was such objective is such a file he she it but he had been
Agni inaugurated
her whatever the word is initiated into Iran's
halt in New York City back in the nineteen fifties and it was 56
when she died he brought a
wreath a flower shaped like a dollar sign
to her funeral this is how much often
about acolytes Avaya ran that alan greenspan's
and he absolutely believed
that when counterparties
counterparties is the economic word for the two people
in a economic transaction buyer and seller
there when counterparties
saw bad behavior
that they would immediately change their behavior his philosophy was that the
government had no business whatsoever regulating banks
because the banks behaved badly people wouldn't want to work with them
and they got a business that the market where automatically and naturally fix
itself
the magic of the marketplace and when the crash happened in 2008 which was
clearly driven
now by any legislation that jimmy carter ever proposed but by banksters
because for seventy years we've had this very stable mortgage market
there was a predictable number mortgages out there
and the Commodity Futures Trading act
allowed bankers to start creating a brand new product called derivatives but
they had to have
underline value to derive from which is a mortgage
so the single mortgage a couple hundred thousand our mortgage on a house
they create tens of millions of dollars in profits
with these derivatives but they had to have the mortgage
so they started and benso
greenspan basically deregulated the banks he said you know we're going
ignore the oversight to guide their was headed the New York Fed
which oversaw the banks in New York City and he said we're not right now I'm
I'm not you know in answer my aunt
Isaacs has been thumbs Myers hands over my mouth
see no evil hear no evil speak no evil
and so the banks
so the ITL the banks there is such a demand for mortgages
because the banks could turn these into derivatives into trillions of dollars to
reverse
they needed billions dollars for the mortgages and the mortgage market was
stable
and so they had to create mortgages out of thin air and so these they basically
said to the loan originators
to the Countrywide's at the world just loan to anybody I don't care
loan anybody I just did the mortgage
I'll pay you a commission of the top you know all by the mortgage from the day
after your region is you don't have to worry about the fact that the guy that
you just gave their borders to
there's no way he can pay it back will take the risk
because we're gonna make millions of dollars on this hundred thousand dollar
mortgage
so if this mortgage goes bad what is paid off no problem
this is really how it happened
and when it crashed what had happened was the banksters is stake in so much of
that money out of the system
that they couldn't pay those mortgages back
or they wouldn't Jamie diamond and Lloyd Blankfein they didn't want to give back
their
their 100 million dollar their $10 million dollar five-minute whatever
they didn't want to get back to multi-million-dollar paychecks
and so on said they went to our government had in hand and George Bush
wrote him a check for $700 billion dollars
skis 700 yes another billion
million billion sonya here's what alan greenspan had to say now that you know
what the word counterparties means
this'll probably make a little more sense just listens
pretty pretty amazing as I wrote last March
those of us who have looked to the self-interest of lending institutions
to protect shareholders equity now let me translate that
the the these self-interest have
lending institutions to protect shareholders equity there is the banks
are not going to behave badly
and bus for their stockholders because they want their reputations to remain
intact okay that's that's what he meant by that
to protect shareholders equity myself
especially are in a state of shock disbelief
shocked disbelief
and then he goes on to say it apparently doesn't work everything that I face my
whole entire life on apparently is a lie
such counterparty surveillance is a central pillar
over our financial markets tater balance
if that fails has occurred this year market stability
is undermined gotta
if this counterparty balance so so the whole it was basically what he said
was reaganomics objectivism libertarianism it's a crock
and many said by the way I wanna be a href anymore
I'm done I'm done with this gig I'm outta here
and that's where he went