Saturday, October 01, 2011
Vicker's Report : What a scam
Vickers:
‘As to the form that separation might take, a balance must be struck between the benefits to society of making banks safer and the costs that this necessarily entails. Full separation – i.e. into separate entities with restrictions on cross-ownership – might provide the strongest firewall to protect retail banking services from contagion effects of external shocks. But it would lose some benefits of universal banking.’
IMO: The "benefits of universal banking" are that the banks get a chance to gamble with our savings and make a lot of money for themselves. The report is simply fraudulent. All the MPs, and even much of the press, think it is grand. But their proposed 'ring-fencing' will be hardly better than the 'Chinese walls' the banks had before. So, there is to be nothing like Glass-Steagal, just more foul play at the taxpayer's expense.
IMO: The above sums it up. Basically the public are to be left unprotected. Lobster 61 (pdf) and plenty of others doubtless know the true situation.
‘As to the form that separation might take, a balance must be struck between the benefits to society of making banks safer and the costs that this necessarily entails. Full separation – i.e. into separate entities with restrictions on cross-ownership – might provide the strongest firewall to protect retail banking services from contagion effects of external shocks. But it would lose some benefits of universal banking.’
IMO: The "benefits of universal banking" are that the banks get a chance to gamble with our savings and make a lot of money for themselves. The report is simply fraudulent. All the MPs, and even much of the press, think it is grand. But their proposed 'ring-fencing' will be hardly better than the 'Chinese walls' the banks had before. So, there is to be nothing like Glass-Steagal, just more foul play at the taxpayer's expense.
IMO: The above sums it up. Basically the public are to be left unprotected. Lobster 61 (pdf) and plenty of others doubtless know the true situation.
# posted by uv : 8:57 PM
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