Geithner Redux: More Will be Learned From Starr International Co., Inc. v. United States, Case No. 11-00779(C) (Fed. Cl.)October 1st, 2014 | © Elliott R. Morss, Ph.D.
Not many have heard of the Starr lawsuit against the US government. It is a very interesting case and should provide new information on why AIG was forced to pay off banks in full. This was done even after AIG representatives said they thought they could get banks to settle for 60 cents on the dollar.
The fraudulent, criminal acts of large banks led directly to the 2008 global depression. Have things gotten better? Are depositors safer than they were in 2008? This article concludes most of the regulations intended to make banks safer will have little or no impact.
I wish all my readers good health and spirits in 2014. In my latest piece, I take a close look at just how safe we should feel about our banks now that the “Volcker Rule” has been written for Dodd-Frank.
Shiller deserved the Nobel Prize in Economics
He recently asked whether too many people go into finance and about whether we need more bank regulation. These issues are addressed in my latest article.