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Bernie Sanders HQ! *A decent human being. (7 Viewers)

Has the DC Madam story been discussed anywhere on the forums?  Not really related to Bernie, but I'm afraid to go into other political threads these days.
I posted some stuff in the GOP thread. There were some things from the interview that sort of sounded like it may relate to Cruz (possibly Trump).

 
Agree. Which is why some sort of massive investment in extending paid education for our kids makes a ton of sense. Also need job training support for those hurt by globalism. An educated citizenry leads to an economic powerhouse.
Yeah but your college degree will be diluted.

:mellow:

 
Daily News: Now, switching to the financial sector, to Wall Street. Speaking broadly, you said that within the first 100 days of your administration you'd be drawing up...your Treasury Department would be drawing up a too-big-to-fail list. Would you expect that that's essentially the list that already exists under Dodd-Frank? Under the Financial Stability Oversight Council?

Sanders: Yeah. I mean these are the largest financial institutions in the world….

Daily News: And then, you further said that you expect to break them up within the first year of your administration. What authority do you have to do that? And how would that work? How would you break up JPMorgan Chase?

Sanders: Well, by the way, the idea of breaking up these banks is not an original idea. It's an idea that some conservatives have also agreed to.

You've got head of, I think it's, the Kansas City Fed, some pretty conservative guys, who understands. Let's talk about the merit of the issue, and then talk about how we get there.

Right now, what you have are two factors. We bailed out Wall Street because the banks are too big to fail, correct? It turns out, that three out of the four largest banks are bigger today than they were when we bailed them out, when they were too-big-to-fail. That's number one.

Number two, if you look at the six largest financial institutions of this country, their assets somewhere around $10 trillion. That is equivalent to 58% of the GDP of America. They issue two-thirds of the credit cards in this country, and about one-third of the mortgages. That is a lot of power.

And I think that if somebody, like if Teddy Roosevelt were alive today, he would look at that. Forgetting even the risk element, the bailout element, and just look at the kind of financial power that these guys have, would say that is too much power.

Daily News: Okay. Well, let's assume that you're correct on that point. How do you go about doing it?

Sanders: How you go about doing it is having legislation passed, or giving the authority to the secretary of treasury to determine, under Dodd-Frank, that these banks are a danger to the economy over the problem of too-big-to-fail.

Daily News: But do you think that the Fed, now, has that authority?

Sanders: Well, I don't know if the Fed has it. But I think the administration can have it.

Daily News: How? How does a President turn to JPMorgan Chase, or have the Treasury turn to any of those banks and say, "Now you must do X, Y and Z?"

Sanders: Well, you do have authority under the Dodd-Frank legislation to do that, make that determination.

Daily News: You do, just by Federal Reserve fiat, you do?

Sanders: Yeah. Well, I believe you do.

Daily News: So if you look forward, a year, maybe two years, right now you have...JPMorgan has 241,000 employees. About 20,000 of them in New York. $192 billion in net assets. What happens? What do you foresee? What is JPMorgan in year two of...

Sanders: What I foresee is a stronger national economy. And, in fact, a stronger economy in New York State, as well. What I foresee is a financial system which actually makes affordable loans to small and medium-size businesses. Does not live as an island onto themselves concerned about their own profits. And, in fact, creating incredibly complicated financial tools, which have led us into the worst economic recession in the modern history of the United States.

Daily News: I get that point. I'm just looking at the method because, actions have reactions, right? There are pluses and minuses. So, if you push here, you may get an unintended consequence that you don't understand. So, what I'm asking is, how can we understand? If you look at JPMorgan just as an example, or you can do Citibank, or Bank of America. What would it be? What would that institution be? Would there be a consumer bank? Where would the investing go?

Sanders: I'm not running JPMorgan Chase or Citibank.

Daily News: No. But you'd be breaking it up.

Sanders: That's right. And that is their decision as to what they want to do and how they want to reconfigure themselves. That's not my decision. All I am saying is that I do not want to see this country be in a position where it was in 2008, where we have to bail them out. And, in addition, I oppose that kind of concentration of ownership entirely.

You're asking a question, which is a fair question. But let me just take your question and take it to another issue. Alright? It would be fair for you to say, "Well, Bernie, you got on there that you are strongly concerned about climate change and that we have to transform our energy system away from fossil fuel. What happens to the people in the fossil fuel industry?"

That's a fair question. But the other part of that is if we do not address that issue the planet we’re gonna leave your kids and your grandchildren may not be a particularly healthy or habitable one. So I can't say, if you're saying that we’re going to break up the banks, will it have a negative consequence on some people? I suspect that it will. Will it have a positive impact on the economy in general? Yes, I think it will.

Daily News: Well, it does depend on how you do it, I believe. And, I'm a little bit confused because just a few minutes ago you said the U.S. President would have authority to order...

Sanders: No, I did not say we would order. I did not say that we would order. The President is not a dictator.

Daily News: Okay. You would then leave it to JPMorgan Chase or the others to figure out how to break it, themselves up. I'm not quite...

Sanders: You would determine is that, if a bank is too big to fail, it is too big to exist. And then you have the secretary of treasury and some people who know a lot about this, making that determination. If the determination is that Goldman Sachs or JPMorgan Chase is too big to fail, yes, they will be broken up.

Daily News: Okay. You saw, I guess, what happened with Metropolitan Life. There was an attempt to bring them under the financial regulatory scheme, and the court said no. And what does that presage for your program?

Sanders: It's something I have not studied, honestly, the legal implications of that.

 
I don't know enough about this stuff to know how badly Bernie whiffed there.  When the government uses its antitrust powers to break up a company, how exactly does it do so?  Would that same technique be available to break up "too big to fail" banks?

 
I believe it is section 121 of Dodd Frank that allows regulators to break up financial institutions that pose a grave risk to the economy.

So while Bernie didn't do great explaining it the authority does exist to do it today. And as for what it looks like for those banks one could look to what happened after Glass Stegall was implemented for some historical clues.

 
I don't know enough about this stuff to know how badly Bernie whiffed there.  When the government uses its antitrust powers to break up a company, how exactly does it do so?  Would that same technique be available to break up "too big to fail" banks?
Sounds like Bernie is going to use the powers afforded under Dodd-Frank to have the Federal Reserve analyze the large financial institutions to find out if they are too big to fail, in order to ensure we do not face a similar situation as 2008 when we had to bail them out to avoid systemic market failure.  Perhaps he would have the Fed do these tests annually.  Maybe he could name them. Call them "stress tests" or something like that.

 
Sounds like Bernie is going to use the powers afforded under Dodd-Frank to have the Federal Reserve analyze the large financial institutions to find out if they are too big to fail, in order to ensure we do not face a similar situation as 2008 when we had to bail them out to avoid systemic market failure.  Perhaps he would have the Fed do these tests annually.  Maybe he could name them. Call them "stress tests" or something like that.
This isn't helpful.  

 
I don't know enough about this stuff to know how badly Bernie whiffed there.  When the government uses its antitrust powers to break up a company, how exactly does it do so?  Would that same technique be available to break up "too big to fail" banks?
He didn't.  Nothing really noteworthy in that exchange except that the interviewer is very confused about the differences between the Fed, FDIC, and Treasury

 
Sounds like Bernie is going to use the powers afforded under Dodd-Frank to have the Federal Reserve analyze the large financial institutions to find out if they are too big to fail, in order to ensure we do not face a similar situation as 2008 when we had to bail them out to avoid systemic market failure.  Perhaps he would have the Fed do these tests annually.  Maybe he could name them. Call them "stress tests" or something like that.
The annual stress tests have nothing to do with determining if a bank is too big to fail

 
Sounds like Bernie is going to use the powers afforded under Dodd-Frank to have the Federal Reserve analyze the large financial institutions to find out if they are too big to fail, in order to ensure we do not face a similar situation as 2008 when we had to bail them out to avoid systemic market failure.  Perhaps he would have the Fed do these tests annually.  Maybe he could name them. Call them "stress tests" or something like that.
This isn't helpful.
Probably because what he's talking about has nothing to do with the question you asked.

 
I don't know enough about this stuff to know how badly Bernie whiffed there.  When the government uses its antitrust powers to break up a company, how exactly does it do so?  Would that same technique be available to break up "too big to fail" banks?
He didn't.  Nothing really noteworthy in that exchange except that the interviewer is very confused about the differences between the Fed, FDIC, and Treasury
To be fair, Bernie doesn't really appear to know what he's talking about here either.

 
I'm somewhat surprised existing law allowed monopolies of this size to grow in the first place.

Oh wait, our corrupt campaign finance system all but assured it.

 
I think the questioner was trying to get Bernie to engage in some hypothetical thinking that's hard to do. We don't know exactly what a breakup would look like. We do have historical precedent to look at but is it apples.to apples? Not sure. We could assume that if these mega institutions were broken up there would be more room for local and regional banks to grow which would help to absorb job displacement when jobs are lost. We could assume that the same breakup would help loosen up credit for smaller business and developers. This could.help alleviate the problems we are seeing in a lack of affordable housing.

I could.hypothetical all day. But what isn't hypothetical is that institutions this size pose a systemic risk and we the people will once again be left holding the bag when it goes Jenga and it will.

 
Speaking of cable - its seems that in the 21st century, one of the biggest infrastructure needs across the country is reliable high-speed internet access.

Not sure why the government can't subsidize or provide internet access to everyone, the same as they provide highways and bridges.  Is this something we need private industry to handle for a profit, or is it really just a commodity, where the costs should be shared equally?

 
I think the questioner was trying to get Bernie to engage in some hypothetical thinking that's hard to do. We don't know exactly what a breakup would look like. We do have historical precedent to look at but is it apples.to apples? Not sure. We could assume that if these mega institutions were broken up there would be more room for local and regional banks to grow which would help to absorb job displacement when jobs are lost. We could assume that the same breakup would help loosen up credit for smaller business and developers. This could.help alleviate the problems we are seeing in a lack of affordable housing.

I could.hypothetical all day. But what isn't hypothetical is that institutions this size pose a systemic risk and we the people will once again be left holding the bag when it goes Jenga and it will.
I think one of the aspects that is lost in breaking up the banks, is that it likely creates more jobs than it loses.

When you break up a bank - you are not eliminating the bank - or any of its services.  You are simply putting them into different boxes - so instead of one big box, you have several smaller boxes.  All of the employees from the big box will have a role in the smaller boxes, and quite frankly you will add jobs as you lose a bit of the redundancy of the larger box.

 
I don't know enough about this stuff to know how badly Bernie whiffed there.  When the government uses its antitrust powers to break up a company, how exactly does it do so?  Would that same technique be available to break up "too big to fail" banks?
He didn't.  Nothing really noteworthy in that exchange except that the interviewer is very confused about the differences between the Fed, FDIC, and Treasury
To be fair, Bernie doesn't really appear to know what he's talking about here either.
They certainly are talking past each other

 
Speaking of cable - its seems that in the 21st century, one of the biggest infrastructure needs across the country is reliable high-speed internet access.

Not sure why the government can't subsidize or provide internet access to everyone, the same as they provide highways and bridges.  Is this something we need private industry to handle for a profit, or is it really just a commodity, where the costs should be shared equally?
Iirc there are some laws/regulations that hamstring many cities from making free Wi-Fi for their citizens. 

 
I think the questioner was trying to get Bernie to engage in some hypothetical thinking that's hard to do. We don't know exactly what a breakup would look like. We do have historical precedent to look at but is it apples.to apples? Not sure. We could assume that if these mega institutions were broken up there would be more room for local and regional banks to grow which would help to absorb job displacement when jobs are lost. We could assume that the same breakup would help loosen up credit for smaller business and developers. This could.help alleviate the problems we are seeing in a lack of affordable housing.

I could.hypothetical all day. But what isn't hypothetical is that institutions this size pose a systemic risk and we the people will once again be left holding the bag when it goes Jenga and it will.
It's not the banks but the fact that developers are in the business of making the most profit possible and that normally isn't from building affordable housing.

 
I don't know enough about this stuff to know how badly Bernie whiffed there.  When the government uses its antitrust powers to break up a company, how exactly does it do so?  Would that same technique be available to break up "too big to fail" banks?
Dodd Frank allows the Board of Governors of the Federal Reserve to require a financial institution to sell off assets to an unaffiliated company.  To break itself up. 

 
Speaking of cable - its seems that in the 21st century, one of the biggest infrastructure needs across the country is reliable high-speed internet access.

Not sure why the government can't subsidize or provide internet access to everyone, the same as they provide highways and bridges.  Is this something we need private industry to handle for a profit, or is it really just a commodity, where the costs should be shared equally?

FCC votes to make low-income Americans eligible for subsidy for high-speed Internet service


The White House has also thrown its support behind the Lifeline program's expansion. In a statement issued earlier this month, President Obama also unveiled a broader initiative called ConnectALL that called on non-profits and the private and public sector to connect 20 million homes to the Internet by 2020.

 
Speaking of cable - its seems that in the 21st century, one of the biggest infrastructure needs across the country is reliable high-speed internet access.

Not sure why the government can't subsidize or provide internet access to everyone, the same as they provide highways and bridges.  Is this something we need private industry to handle for a profit, or is it really just a commodity, where the costs should be shared equally?
Well the state and fed gov't have mucked this one up too picking and choosing who can be where/when and how.  No idea how they'd untangle that mess.  These companies lay all the hardwire down, set up all the infrastructure (because the governments wouldn't) and now expect that they get the control of the area.  I don't disagree with the expectation given the :moneybag:  outlay for all the hardwiring, but it leads to what we're seeing now, which is unfortunate.

The first large company that can figure out how to cheaply get "wi-fi" access out there is going to be the winner IMO.  There are plenty of radio towers out there.  It's just a matter of minimizing/addressing the dead spots.  

 
It's not the banks but the fact that developers are in the business of making the most profit possible and that normally isn't from building affordable housing.
It's a complicated problem, and I think one of the key problems is that local residents are much more engaged in zoning and approval of new developments than they used to be, thanks to the internet. You mention affordable housing in Chicago and you'll have a community meeting full of residents crying about the downfall of their neighborhood. For developers, it's easier to build mid-range, low-density SFHs than condo buildings or apartments. On the plus side, the city has done away with the restrictive Section 8 designation, so any development is Section 8 eligible. But still, NIMBYs are a huge factor in why more affordable housing doesn't get done.

 
I don't know enough about this stuff to know how badly Bernie whiffed there.  When the government uses its antitrust powers to break up a company, how exactly does it do so?  Would that same technique be available to break up "too big to fail" banks?
The interviewer is also questioning Bernie about a legal issue that can't be well answered, I should also mention.  It will be appealed, and regardless I believe the full opinion is currently under seal.  As a result, no one can really answer how the MetLife decision affects future regulatory processes in the "too big to fail" context.

 
It's not the banks but the fact that developers are in the business of making the most profit possible and that normally isn't from building affordable housing.
No not really. Banks have stepped in to buy houses and turn them to rental properties. They are driving up.rent to unsustainable levels and at the same time they are sitting on credit for smaller developers. They are creating the next bubble. Bass can tell you first hand what is happening in the market as it affects him directly. He has posted on it often here.

 
Should be a very close race tonight. Sanders with the advantage but Hillary with a decent shot. 

Per this morning's polling Hillary has widened her national lead. 

 
How do you know he'd be doing better? And with whom?
There's no way to know obviously, which is why I never claimed that I do- that's what the IMO is for.  You're the one who said polling doesn't support my opinion- got a link?

 
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Should be a very close race tonight. Sanders with the advantage but Hillary with a decent shot. 

Per this morning's polling Hillary has widened her national lead. 
Last polling I saw has Bernie's lead widen in Wisconsin. He needs a double digit win. We'll see if he can get there.

 
There's no way to know obviously, which is why I never claimed that I do- that's what the IMO is for.  You're the one who said polling doesn't support my opinion- got a link?
The polls have been posted many times in this thread. The majority of voters seem to be on board with the idea Wall Street is getting over while Main Street suffers and it's time to.end that. That is the impetus behind Sanders run. Evidenced in Hillary's move to.the left on that issue.

 
There's no way to know obviously, which is why I never claimed that I do- that's what the IMO is for.  You're the one who said polling doesn't support my opinion- got a link?
The polls have been posted many times in this thread. The majority of voters seem to be on board with the idea Wall Street is getting over while Main Street suffers and it's time to.end that. That is the impetus behind Sanders run. Evidenced in Hillary's move to.the left on that issue.
So, no link?  You can stop being deliberately obtuse now, you know those polls don't cover whether he'd get more or less support if he changed his rhetoric.

 
So, no link?  You can stop being deliberately obtuse now, you know those polls don't cover whether he'd get more or less support if he changed his rhetoric.
I think there actually were a couple that had similar questions.  Didn't Free Beacon or someone ask about position on Wall Street in one of its polls?  Nevada, maybe?  It probably wasn't worded right to get to the exact question, I guess.

 
Speaking of cable - its seems that in the 21st century, one of the biggest infrastructure needs across the country is reliable high-speed internet access.

Not sure why the government can't subsidize or provide internet access to everyone, the same as they provide highways and bridges.  Is this something we need private industry to handle for a profit, or is it really just a commodity, where the costs should be shared equally?
Wrong thread but I'd very much like to discuss this if there's a thread for it.  The FCC has been a joke on this issue.  

 
Daily News: I know you've got to go in a second. When was the last time you rode the subway? Are you gonna a campaign in the subway?

Sanders: Actually we rode the subway, Mike, when we were here? About a year ago? But I know how to ride the subways. I’ve been on them once or twice.

Daily News: Do you really? Do you really? How do you ride the subway today?

Sanders: What do you mean, "How do you ride the subway?"

Daily News: How do you get on the subway today?

Sanders: You get a token and you get in.

Daily News: Wrong.

Sanders: You jump over the turnstile.
http://www.nydailynews.com/opinion/transcript-bernie-sanders-meets-news-editorial-board-article-1.2588306?cid=bitly

 
So, no link?  You can stop being deliberately obtuse now, you know those polls don't cover whether he'd get more or less support if he changed his rhetoric.
Yes attack me because I am not reposting stuff that has been posted many times. You have no empirical evidence to back your opinion. I point that out you come back with nothing but insults. You sure showed me.

 
Speaking of cable - its seems that in the 21st century, one of the biggest infrastructure needs across the country is reliable high-speed internet access.

Not sure why the government can't subsidize or provide internet access to everyone, the same as they provide highways and bridges.  Is this something we need private industry to handle for a profit, or is it really just a commodity, where the costs should be shared equally?
Free phone and TV next too? 

Forgive me if I'm wary of Federally supplied Internet access... privacy concerns abound. 

 
No not really. Banks have stepped in to buy houses and turn them to rental properties. They are driving up.rent to unsustainable levels and at the same time they are sitting on credit for smaller developers. They are creating the next bubble. Bass can tell you first hand what is happening in the market as it affects him directly. He has posted on it often here.


Small developers got crushed in the 2008 fiasco.  One neighborhood we just got started on is being financed by investors from Equador.  

Meanwhile I can't refinance a HELOC because of some new ratio created under this so called reform.  Bank tells me my credit score is fine, debt to income OK, income good.  I have 8 mortgages on the books all paid on time for 10+ years and the "ratio" says I'm a bankruptcy risk so no money for me.

So while I struggle to re-fi a HELOC where the outstanding loan to value ratio is under 67% Wall Street companies are buying up property left and right and turning them into rentals.  There's a huge demand because the new regs are harsh on first time homebuyers.  So big finance is essentially shutting out homebuyers and forcing them into the rentals they are buying up.  One company I spoke with had a stated goal of owning 10,000 homes in our market.  That's basically a small city.  What do you think is going to happen when these companies need to raise capital and dump these homes on the market?  

What gets even better, by keeping money away from developers, they keep home starts down.  New housing supply is lagging our population growth.  As I recall, it was net -2,500,000 in the US last year.  Add this increase in demand to the reduction of supply and the value of these homes Wall Street is buying is going up.  

They play the game with different rules than the rest of us and play it at a much high level.  All the recent reforms did was to jack the tilted playing field in a different direction and the banks and Wall Street have already migrated to a new position to reap the rewards.

 

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