Tag Archive | wallstreet

More banks, fewer problems

Should we have more small banks, and not that much big ones? Is the question that Scott Shay is trying to answer in the next TED talk.

Scott Shay is a small banker with a big idea: No more big banks. The way he sees it, the bigger they are, the harder they fall and the bigger the global disaster they can leave in their wake. At TEDxWallStreet, he appeals for a massive break-up — spreading out the risk, diversifying the field, lowering the dependency and creating a more secure financial system overall.

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How Wall Street Turned a Crisis Into a Cartel

Today I found another interesting article  How Wall Street Turned a Crisis Into a Cartel
http://www.bloomberg.com/news/2012-01-09/cohan-how-wall-street-turned-a-crisis-into-a-cartel.html

Here is an except from it :

Almost 65 years ago, in 1947, the U.S. government sued 17 leading Wall Street investment banks, charging them with effectively colluding in violation of antitrust laws.

……………..

Today, there are far fewer than 17 firms in control of the investment-banking business. After Goldman Sachs Group Inc. (GS), Morgan Stanley, JPMorganChase & Co. (JPM), Citigroup Inc. (C), Bank of America Corp. (BAC) and Deutsche Bank AG (DBK), one is pretty much at a dead end. The investment-banking business is now both much, much bigger — in terms of revenue and profits — and much, much more concentrated than it ever was close to being in 1947.

The Danger Debt Poses to the Western World

Today I found a article that I found interesting, especially in the current economic context: The Danger Debt Poses to the Western World
http://www.spiegel.de/international/world/0,1518,806772,00.html

Must of you probably know who was Carlo Ponzi, but I’m not sure that everyone knows the extent of uses of the now called “Ponzi scheme” by economists.

Here is an except from it :

Countries around the world, particularly in the West, are hopelessly in the red, with debt rising every day. Even worse, politicians seem paralyzed, unable — or unwilling — to do anything about it. It is a global disaster that threatens the immediate future. But there might be a way out.

In the end, I would like to say to please read the article.