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The unforeseen side effects of what was meant to be a very orderly and master-planned wind-down of one bank for the benefit of all the others — that speaks to t
by numair 6y ago
The unforeseen side effects of what was meant to be a very orderly and master-planned wind-down of one bank for the benefit of all the others — that speaks to the exact point I was making about the ridiculous notion that these are mature, all-knowing, all-wise adults.
As far as good and bad people, well... The senior $LARGE_CONSUMER_BANK Vice-President who told me how much he loved the profit he was making off the overdraft fees he thought were “an honest service” to his poorest customers, with a huge smile on his face, was definitely a lot more evil than Dick.
But look, if you’ve had direct experiences with a bunch of the CEOs and senior execs at these firms, feel free to provide a counter! If you’re basing things on journalist accounts, however, you’re going to be in for a surprise when you learn who pays their bills and takes them on trips...
- whimsicalism 6y ago> mature, all-knowing, all-wise adults. The market is incredibly complex. If you thought that executives can foresee the downstream effects of a given market event because they are "all-knowing, all-wise", then of course you are an idiot. But nobody you were arguing with even remotely thinks this. Of course, there is uncertainty. There was never going to be a "very orderly" draw-down, but the issues from the moral hazard of propping up Lehman were (and remain) a big consideration when considering bailouts.
- roenxi 6y ago> But nobody you were arguing with even remotely thinks this. The SEC thinks this, the linked statement suggests believe they can foresee rapid and severe losses that normal traders can't. Someone in this argument likely agrees with the SEC.
- deleted 6y ago[deleted]