Archive for the ‘ economy ’ Category

Documents: Paulson forced 9 bankS to take TARP

NEW YORK (AP) — The chief executives of the country’s nine largest banks had no choice but to accept capital infusions from the Treasury Department in October, government documents released Wednesday have confirmed.

Obtained and released by Judicial Watch, a nonpartisan educational foundation, the documents revealed “talking points” used by former Treasury Secretary Henry Paulson during the October 13 meeting between federal officials and the executives that stressed the investments would be required “in any circumstance,” whether the banks found them appealing or not.

Paulson also told the bankers it would not be prudent to opt out of the program because doing so “would leave you vulnerable and exposed.”

The meeting was hosted by Paulson, Federal Reserve Chairman Ben Bernanke, FDIC Chairman Sheila Bair and current Treasury chief Timothy Geithner, who was then president of the New York Fed. Continue reading

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George Soros: US Banking System “Basically Insolvent”

George Soros

U.S. economy is in for a “lasting slowdown” and could face a Japan-style period of relatively low growth coupled with high inflation, billionaire investor George Soros said on Monday. Soros, speaking to Reuters Financial Television, also warned that rescuing U.S. banks could turn them into “zombies” that draw the lifeblood of the economy, prolonging the economic slowdown. Read the whole story: CNBC

Ron Paul: Culprits Of Financial Collapse Should Be Arrested


Ron Paul: Culprits Of Financial Collapse Should Be Arrested
Congressman Ron Paul says that the people responsible for the economic crisis should not be hailed as saviors and given more power to fix the problem that they created, but arrested and criminally prosecuted.

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(VIDEO) Gordon Browns push for a “New Global Deal”.

British prime minister addresses Congress

Prime Minister Gordon Brown urged American leaders on Wednesday to “seize the moment,” in tandem with their European allies, to work through the global economic crisis and prepare for a future that brings a world order.

“Let me say that you now have the most pro-American European leadership in living memory,” Mr. Brown said.

“There is no old Europe, no new Europe, there is only your friend Europe. So once again I say we should seize the moment — because never before have I seen a world so willing to come together. Never before has that been more needed. And never before have the benefits of cooperation been so far-reaching.” (1)

IMF: Global economic crisis requires a global solution

The global economic crisis requires a global solution, and fixing what ails the world’s banks will take time, says the head of the International Monetary Fund. A recovery should begin in the middle of next year, but that depends on the right policies being implemented, Dominique Strauss-Kahn tells NPR in an interview.

Well, it depends on what you call an end. We see the beginning of the recovery in the mid of 2010, providing that the right policies are implemented. Part of them are implemented so far, but some others things have to be done, and it takes time.” Dominique Strauss-Kahn