Skip to main content

View Diary: FDIC's Sheila Bair Says Credit Rating Agencies are Still Vastly Overrating the Big Banks (12 comments)

Comment Preferences

  •  One day the news was all about (9+ / 0-)

    toxic waste. The next day, the subject disappeared and the banks were declared healthy.

    What happened? We changed the accounting rules, and presto! the toxic waste was magically gone. We ran some softball stress tests and everyone passed. Then we hoped somehow the banks could manage to make a whole shitload of money before anyone noticed that the problem was still there.

    The credit agencies' defense of their actions was that all they sold was their opinion; no one should ever have taken it as anything more than that. Why would we ever take anything they say seriously again?

    Bank balance sheets are fictions. Nothing has changed. Nothing is going to change.

    We decided to move the center farther to the right by starting the whole debate from a far-right position to begin with. - Former House Majority Leader Tom DeLay

    by denise b on Sun Jul 10, 2011 at 07:28:49 PM PDT

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site