Timothy Canova: In selecting Clinton-era figures, Obama is embracing those who helped create crisis
"On Monday, Treasury Secretary Henry Paulson and President George Bush announced they would be committing $20 Billion in capital and and guaranteeing a record $306 Billion in risky assets now belonging to CitiGroup, at one time the world's largest and most profitable financial institution. Meanwhile, Obama announced the twin towers of his economic team, Tim Geithner, current head of the New York Federal Reserve, and Larry Summers, former Treasury Secretary under Clinton, to head-up the Treasury and the White House National Economic Council respectively. In our interview with Timothy Canova, Timothy provides a historical analysis of Geithner and, in particular, Summers. He believes that a great deal of the current economic crisis can be put on Summers for his role as Treasury Secretary in the deregulation of the derivatives market, and Geithner for the refusal to re-regulate that market, and in doing so allowing it to grow to unthinkable proportions. He ends by noting that neither Summers nor Geithner have admitted openly that their actions and commitment to deregulation were wrong, something that Alan Greenspan did in a congressional hearing just last month."
No comments:
Post a Comment