Milton Friedman being a douchebag

[Slystallion]

So Wall Street banks recklessly sold garbage derivatives that were unregulated and rated AAA by the credit rating agencies because government got too big?

That was in combination of sub prime mortgages pushed for decades by liberals defaulting

Was a perfect shyt storm on all sides

The finance industry has its issues though especially big wire house banks that sell investment products with stupid high fees tied to commissions for advisors

 

[Dusty Bake Activate]

The guy was talking about civilization collapsing like in Rome etc. That can't happen if the government doesn't collapse. And when the government is too big and too involved financially, when they can no longer pay, things get really bad, and that includes harsh inflation.


The whole sub prime market is because of the government wanting more people to own homes

The subprime market bust would've been just that and not a global economic catastrophe if mortgage back securities hadn't been allowed to flood the whole financial market.

Derivatives should've been regulated...by the government. The great recession did not happen because government got too big like Friedman said.

 

[CHL]

That was in combination of sub prime mortgages pushed for decades by liberals defaulting

Was a perfect shyt storm on all sides

The finance industry has its issues though especially big wire house banks that sell investment products with stupid high fees tied to commissions for advisors

Are the fees like stupid high, dude?

 

[Cyber]

Relevant:

 

[Yapdatfool]

I have a question...

Y'all posting videos of a well know economist vs a talk show host and movie director for what reason again??

Are phil and michael well know liberal debaters or some shyt??

 

[theworldismine13]

No he didn't. He got emotional like a broad because he couldn't stand someone disagreeing with him. And dude was right. The economy ended collapsing and it was because of excessive crony capitalism, not because government got too big.

Be a black man who stans Milton Friedman, brehs.

Yeah I stan individual freedom and economic freedom, I'm a horrible person

 

[TheAlbionist]

What happens when you actually allow Milton Friedman's ideas the free reign that libertarians always complain they've never been given in the US and Western Europe?

You get capital-backed coups installing dictators like Augusto Pinochet who'll promise to keep their people down with military force so the capital can be free to create society and supposedly raise them up again. It doesn't work. You get torture chambers in Ford factories in Chile and Argentina.

The idea that "economic liberty", "life, liberty and the pursuit of happiness" and "equality" are even remotely connected to one another is just about the biggest okeydoke that poor people have been falling for for decades.

If humans were angels, this shyt might work, but we're not. We're selfish animals and we have to be forced to think about the greater good once in a while if we want to live in populations as large as we do and not have some seriously foul shyt occurring in the shadows.

 

[ⒶⓁⒾⒶⓈ]

Friedman on Chile and Pinochet

 

[plushcarpet]

No he didn't. He got emotional like a broad because he couldn't stand someone disagreeing with him. And dude was right. The economy ended collapsing and it was because of excessive crony capitalism, not because government got too big.

Be a black man who stans Milton Friedman, brehs.

explain how crony capitalism and big government don't go hand in hand

i swear the stuff i read sometimes

 

[Dusty Bake Activate]

explain how crony capitalism and big government don't go hand in hand

i swear the stuff i read sometimes

Uh, if there was one redneck county commissioner who we made the entire executive branch and congress was 3 people, you could still have crony capitalism. Crony capitalism isn't dependent upon size of government. Some of the worse corruption happens in small town good ol boy networks.

The financial crisis did not happen because government got too big, and Friedman was wrong.

 

[plushcarpet]

Uh, if there was one redneck county commissioner who we made the entire executive branch and congress was 3 people, you could still have crony capitalism. Crony capitalism isn't dependent upon size of government. Some of the worse corruption happens in small town good ol boy networks.

The financial crisis did not happen because government got too big, and Friedman was wrong.

big gov't =/= how many politicians there are

big gov't = how much power the government has

those huge financial institutions were not just making deals with local governments, they were making deals at the federal level with corrupt federal politicians

 

[Dusty Bake Activate]

big gov't =/= how many politicians there are

big gov't = how much power the government has

those huge financial institutions were not just making deals with local governments, they were making deals at the federal level with corrupt federal politicians

So if the federal government was only 20 people that would ensure that banks couldn't commit massive fraud?

 

[Domingo Halliburton]

Thats the back half of that story..The only reason they could sell those derivatives is because they had bribed lobbied Bill clinton into signing the repeal of Glass stegall

Although to be fair many of the house democrats and quite a few republicans were complicit...and they WERE still supposed to be regulated the Fed and SEC turned a blind eye to those dealings because the economy seemed to be booming..

How'd they sell MBS in the 80s and 90s then?

And glass steagall would have done very little to regulate AIG, Bear Stearns, Lehman, shadow banking, etc.

 

[ⒶⓁⒾⒶⓈ]

How'd they sell MBS in the 80s and 90s then?

And glass steagall would have done very little to regulate AIG, Bear Stearns, Lehman, shadow banking, etc.

I thought YOU were the wall street pirate

Anyway the only seller of MBS before Clinton and GWBs deregulation frenzy was the Govt through fannie may and they had strict standards

Then in 2003–2004, the subprime mortgage crisis began.[33] The market shifted away from regulated GSE's and radically toward Mortgage Backed Securities (MBS) issued by unregulated private-label securitization conduits, typically operated by investment banks.

As mortgage originators began to distribute more and more of their loans through private label MBS's, GSE's lost the ability to monitor and control mortgage originators. Competition between the GSEs and private securitizers for loans further undermined GSEs power and strengthened mortgage originators. This contributed to a decline in underwriting standards and was a major cause of the financial crisis.[34]

And youre right Glass Seagall wouldnt have stopped "investment " banks from collapsing..it was never meant to it was meant to insulate commercial banks and the rest of the Economy from those collapses

Or have you forgotten those doom and gloom "too big to fail" scenarios

 

[Domingo Halliburton]

I thought YOU were the wall street pirate

Anyway the only seller of MBS before Clinton and GWBs deregulation frenzy was the Govt through fannie may and they had strict standards




And youre right Glass Seagall wouldnt have stopped "investment " banks from collapsing..it was never meant to it was meant to insulate commercial banks and the rest of the Economy from those collapses

Or have you forgotten those doom and gloom "too big to fail" scenarios

My point was simply I don't think Glass being in place would have prevented 2008. The commodities modernization act probably had more to do with it. CDS should probably be regulated like insurance contracts.

Even in your graph there you can see GSEs were still guaranteeing like 60% of mortgages.