How the FDIC can curb banks’ reckless speculation

By Barry Ritholtz – Let’s be blunt: Banking has devolved into an unruly mess.

After years of deregulation, it has become all but impossible to re-regulate modern banking. There was a brief window during the credit crisis, but that has passed. Today, profits trump soundness. Safety and security are secondary to risk-taking and speculation.

I have been wondering what we, as a democratic nation, are going to do about this. Are we going to rule banks, or are bankers going to rule us? more> http://tinyurl.com/cbeyqa4

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What caused the financial crisis? The Big Lie goes viral.

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By Barry Ritholtz – A Big Lie is so colossal that no one would believe that someone could have the impudence to distort the truth so infamously. There are many examples: Claims that Earth is not warming, or that evolution is not the best thesis we have for how humans developed.

Wall Street has its own version: Its Big Lie is that banks and investment houses are merely victims of the crash. You see, the entire boom and bust was caused by misguided government policies. It was not irresponsible lending or derivative or excess leverage or misguided compensation packages, but rather long-standing housing policies that were at fault. more> http://tinyurl.com/7h6p8bm

Related articles

• The Big Lie of the Financial Crisis (ritholtz.com)
• The Big Lie (Previews & Edits) (ritholtz.com)