Wednesday, October 5, 2011

Third World Country...

Michael Lewis, famed author of Money Ball and The Blind Side, talking to NPR's Terry Gross on Tuesday about his new book Boomerang -

""I feel like I live in a place that's going to be dealing with problems that one associates with the Third World: radical declines in public services, the real possibility that municipalities don't repay their debts, [and] kind of a fraying of the civil fabric that's all the more peculiar because it's taking place in the context of great affluence. There's a real connection to Third World problems. An hour north of us in Berkeley, there's an actual bankrupt city in Vallejo. You go there and you wander around the streets that are not being paved and the public services that are not being rendered and the police force that can't do its job because it's been cut in half, and you think, 'Oh my God, it can happen here.' " [Copyright 2011 National Public Radio]"  Full Transcript HERE

It is happening here... and I wonder if we've got the gumption to continue what the protestors have started on Wall Street?

Lewis on the Wall Street protest:

"Wall Street, in recent years, seems to have become an engine of unfairness. And you can see why people are outraged by what's happened there. Just back away from this financial crisis, and the truth is, we're still in it. The story I'm telling in this book is just an extension of the story I told in The Big Short. It hasn't gone away. We haven't put to rest the problems that were created during the subprime bubble. But Wall Street private enterprises — these big Wall Street firms where people were paid more than anyone in the society because they supposedly know what they are doing with money — orchestrates the biggest misallocation of capital, of money in the history of the world. And they pay themselves an awful lot of money while they're doing this. The result of this is this crisis, and the crisis leads to Wall Street being essentially bailed out of its own mistakes — that the government decides that these big Wall Street banks going down is unthinkable. And so, once the Bush and Obama administrations decided that you couldn't let these firms fail and they didn't want the mess of nationalizing them, there was really only one way forward — and that way was to gift money onto these banks until they're back on their feet and can function at the center of the economy again. But that, to any normal person who is outside the system, just looks ridiculously unfair. It looks like socialism for capitalists and capitalism for everybody else. So it's no wonder people are marching in southern Manhattan."

Click below to purchase Lewis latest - 

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