Books to Reduce Polarization and Enhance Constructive Debate
Aaron Burr may have sung about being “in the room where it happens” in Hamilton. In the room where that pivotal event happened, a compromise struck over a meal at Thomas Jefferson’s. (There’s a book about that! Dinner at Mr. Jefferson’s. The wines, the food. Only three people. No servants present.) In a democracy, it’s…
BREAK ‘EM UP: Ten Reasons to Isolate Taxpayers from TBTF Systemic Banks
Commercial banking and investment banking are fundamentally different businesses. Each may stand between those who have money to spare and those who need to borrow it, but their risks, time horizons, and compensation practices differ widely. As Glass-Steagall barriers between the two were dissolved beginning in 1987, the largest banks took higher risks, backed by…
BREAK ‘EM UP!: Money in Politics Challenges the Real Solution to Systemic Risk
Getting Congress to force separation once again between commercial and investment banking may be politically challenging, even in an era of supposedly courting the middle class. But it is the only way to substantially minimize the need for future taxpayer bailouts of large banks. Employees and PACs of the largest banking, hedge fund, and private…
BREAK ‘EM UP!: Creating Systemic TBTF Banks
Most folks outside the financial services industry (and many within) have the mistaken impression that the elimination of Glass-Steagall barriers between investment and commercial banking occurred in one legislative move. The true truth is that the barriers were first eroded by Federal Reserve actions, instigated by big U.S. commercial banks over a decade earlier than…
