asterisk2a + mervynking   41

Lord King says Brexit brings 'real opportunities' - BBC News
economic reform // He said there were "real opportunities" for economic reform and new trade deals which meant Brexit could be a success. // problem is that after the GFC one opportunity was left at at bus stop. now we get 2nd w May/Tories/Brexit ? // like meat tax?
Brexit  liberal  economic  reform  technological  unemployment  working  poor  squeezed  middle  class  Austerity  MervynKing  BOE  markcarney  carney  social  mobility  income  poverty  tax  evasion  avoidance  HMRC  taxation  theresa  may  Tories  Conservative  Party  nasty 
december 2016 by asterisk2a
The economics of Brexit – Politics Weekly podcast
Leave Campaign, so far, has failed to assure voters that we get through the quiet possible tubulences and uncertainty unharmed severely after 1-2 years. [ economic forecasts/predictions are Wall Streets cottage industry ] Brexit for sure would throw Osbornes plan for a surplus in 2020. ... brexit is about less regulation free trade low tariffs, 'get off the back of our City [London bank regulation]' [low tax, higher pay] George Osborne ... // banks have not voiced their voice loudly because that would be seen by people who bailed them out to tune of doubling the deficit, and still own bank shares ie loyds. it could be seen disingenuous, outrageous, as we are still in doldrums, paying off their debt, and suffering through austerity where the most vulnerable are cut away from society.
Brexit  George  Osborne  economic  damage  economic  growth  economic  security  economic  slack  economic  slowdown  economic  harm  macroeconomic  policy  microeconomic  policy  trade  agreement  free  trade  regulation  David  Cameron  Whitehall  Westminster  economic  forecast  Wall  Street  European  Union  Career  Politicians  EEA  free  movement  of  people  immigration  migration  austerity  general  election  2020  general  election  2015  Tories  Conservative  Party  nasty  neoclassical  economics  neoliberal  neoliberalism  Chicago  School  trickle-down  economics  self-regulation  deregulation  regulators  MervynKing  Mark  Carney  BOE  IMF  retail  banking  investment  banking  City  of  London  bank  bailout  GFC 
april 2016 by asterisk2a
Keiser Report: Sovietization of capitalism (E723) - YouTube
BIS 100% of private debt and finance sector larger than 3.9% of economy bad ... and siphoning off talent from more productive fields of work. And finance favours lending to property and land (low productivity). [...] financial products (derivatives) do not help economy. is just a financial product, fee collection. rentier! rent-seeking behaviour! fees fees fees. (JP Morgan, 89% of profits, see interview) [...] QE reflated asset prices/share prices! // In the second half, Max interviews David Graeber about his new book, The Utopia of Rules: On Technology, Stupidity and the Secret Joys of Bureaucracy.
private  debt  consumer  debt  household  debt  BIS  Wall  Street  recovery  zombie  banks  car  loan  credit  card  debt  student  loan  debt  student  loan  Bubble  student  debt  economic  history  GFC  secular  stagnation  UK  City  of  London  USA  investment  banking  retail  banking  BOE  Fed  macroeconomic  policy  microeconomic  policy  property  speculative  bubbles  speculative  speculation  productivity  output  gap  austerity  George  Osborne  dogma  ideology  constituency  Party  Funding  vested  interest  interest  groups  mortgage  market  Housing  Crisis  Help  to  Buy  Scheme  Help  to  Save  Funding  for  Lending  Scheme  Right  to  Buy  Buy-to-Let  subsidies  subsidizing  derivatives  financial  product  rent-seeking  rentier  QE  ZIRP  NIRP  reflate  reflation  Mark  Carney  fiscal  policy  monetary  policy  Richard  Koo  book  David  Graeber  MervynKing 
march 2016 by asterisk2a
Central bankers on the defensive as weird policy becomes even weirder | Business | The Guardian
Growth is tepid, productivity is poor, and inflation is too low: all is not going according to policymakers’ masterplans [...] As far as the OECD is concerned, monetary policy is being forced to take too much of the strain. Its chief economist Catherine Mann made the point that lasting recovery required three things: stimulative monetary policy; activist fiscal policy; and structural reform. The OECD wants the second of these ingredients to be added to the recipe in the form of increased spending on public infrastructure, something it says would more than pay for itself at a time when governments can borrow so cheaply.
monetary  policy  G20  fiscal  policy  monetary  stimulus  monetary  system  monetary  transmission  mechanism  liquidity  trap  UK  western  world  USA  Japan  Abenomics  George  Osborne  Angela  Merkel  Wolfgang  Schäuble  Pact  Schuldenbremse  economic  history  recovery  secular  stagnation  productivity  underinvestment  MarioDraghi  ZIRP  NIRP  QE  ECB  BOE  Fed  Taper  deflationary  deflation  nominal  GDP  targeting  inflation  targeting  zombie  banks  MervynKing  zombie  corporations  zombie  consumer  Richard  Koo  Gini  coefficient  inequality  squeezed  middle  class  wage  stagnation  discretionary  spending  distortion  property  bubble  disposable  income  productive  investment  austerity  business  confidence  foreign  direct  investment  consumer  debt  household  debt  credit  card  debt  car  loan  student  loan  debt  student  loan  policy  folly  policy  error  short-termism  Career  Politicians  neoliberalism  neoliberal  trickle-down  economics  self-regulation  City  of  London  investment  banking  retail  banking  OECD  IMF  KennethRogoff  hot-money  hunt  for  yield  asset  bubble  asset  allocation  speculative  bubbles  speculative  speculation  reflate  reflation  financial  repression  New  Normal  trust 
march 2016 by asterisk2a
Mervyn King: new financial crisis is 'certain' without reform of banks | Business | The Guardian
The former Bank of England governor says in his new book that imbalances in the global economy makes a crash inevitable [...] GFC was the fault of the financial system, not individual greedy bankers, in his new book, The End Of Alchemy: Money, Banking And The Future Of The Global Economy [...] “Without reform of the financial system, another crisis is certain, and the failure ... to tackle the disequilibrium in the world economy makes it likely that it will come sooner rather than later,” Lord King wrote. [...] global central banks were caught in a “prisoner’s dilemma” - unable to raise interest rates for fear of stifling the economic recovery, the newspaper reported. [... blame] broken financial system. [...] failure of a system, and the ideas that underpinned it, [...] “Only a fundamental rethink of how we, as a society, organise our system of money and banking will prevent a repetition //&! dailym.ai/21tPG5y
bank  crisis  banking  crisis  investment  banking  self-regulation  retail  banking  Greed  financial  product  regulation  regulators  City  of  London  George  Osborne  Mark  Carney  macroprudential  policy  property  bubble  austerity  liquidity  trap  secular  stagnation  job  creation  Service  Sector  Jobs  economic  history  GFC  neoliberalism  neoliberal  trickle-down  economics  free  market  ZIRP  NIRP  QE  faultlines  hot-money  hunt  for  yield  distortion  financial  repression  emerging  middle  class  emerging  market  Frontier  Markets  BRIC  China  Brazil  credit  bubble  2016  reflate  reflation  junk  bond  revolving  debt  household  debt  mortgage  market  consumer  debt  UK  IMF  OECD  credit  card  debt  car  loan  BOE  MervynKing  ECB  Fed  Europe  deflationary  deflation  Gini  coefficient  inequality  MarioDraghi  Taper  QT  bonuses  bonus  global  imbalances  structural  imbalance  Career  Politicians  lobbyist  lobby  Lobbying  revolving  door  New  Normal  speculative  bubbles  Richard  Koo  Fiscal  Pact  Schuldenbremse 
february 2016 by asterisk2a
Gordon Brown - Where Did It All Go Wrong ? - YouTube
Crash Gordon ( The Financial Crisis) - youtu.be/NL8A2fi3ols - the city generated 1/4 of all corporation tax income at its height! the city as a cash cow, that money was being redistributed into public & social services during the heyday. public spending increased from 40% of GDP to 48 (supported by the city cash cow). & the illusion 2 have a grip on boom & bust. convinced by 10 years of non-inflationary growth of the economy (thinking that labour made it). // BOE gov king was more concerned with the moral hazard of bailing out bad players (northern rock at this time) than with financial stability. northern rock was taken into public ownership under gordon brown. // 3 of the 5 largest banks in the world are British banks & each of them has a balance sheet larger than the uk economy. we are talking 5 times the British economy being the responsibility of the British tax payer. // & leading up to that infamous G20 meeting mervynking said there is no fiscal space 4 expansion
GordonBrown  GFC  bank  bailout  Labour  Party  economic  history  political  economy  political  error  political  theory  UK  NorthernRock  Career  Politicians  MervynKing  BOE  FSA  Positioning  Tories  Conservative  Party  George  Osborne  Vince  Cable  austerity  fiscal  policy  fiscal  stimulus  monetary  policy  monetary  theory  G20  tax  evasion  tax  avoidance  expense  scandal  Westminster 
january 2016 by asterisk2a
Ben Bernanke urges punishment of individual bankers - BBC News
>> Privatisation where and when it is needed. No, only if it suits their ideology and agenda. // regulatory failure. - youtu.be/Yx1P5Wz2iX4 - Ben Bernanke, John Mack Reflect on 2008 Financial Crisis >> NINJA Loan, homeownership, subprime, ... //&! Ben Bernanke on Lehman Crisis: "We Agreed to Be Vague" (Oct. 6, 2015) | Charlie Rose - youtu.be/EYGbtxzIkvw - 'lehman brothers was a sink hole. money put in from gov in a saving attempt would have resulted in being pulled out by its counterparties and creditors. and had not enough collateral and assets.'
too  big  to  jail  regulators  morality  Justice  System  injustice  Law  &  Justice  white-collar  crime  corporate  scandal  accounting  scandal  mis-selling  CDO  CDS  Interestrateswap  benbernanke  book  TBTF  too  big  to  bail  GFC  trickle-down  economics  economic  history  Super  Rich  1%  bank  bailout  banking  crisis  investment  banking  bank  crisis  retail  banking  CEO  pay  CEO  Abacus  subprime  car  loan  NINJA  fairness  Generationengerechtigkeit  austerity  budget  deficit  Student  Bubble  Wall  Street  profit  maximisation  shareholder  value  free  market  Privatisation  MervynKing  George  Osborne  David  Cameron  self-regulation  regulation  deregulation  Career  Politicians  No  Representation  revolving  door  inequality  Gini  coefficient  income  distribution  oligarchy  democracy  social  contract  political  theory  timgeithner  UK  USA  ideology  dogma  lehmanbrothers 
october 2015 by asterisk2a
The escape from the balance sheet recession and the QE trap: An interview with Richard Koo - YouTube
"deflationary" is a symptom of balance sheet recession, deleveraging, debtoverhang ... of the private sector, corporate sector (& public gov sector) (to repair balance sheet). inflation of price of goods 2 live is still existent. you cant eat laptops. inflation is still present. actions of private sector, corporate sector to repair balance sheet (and even public sector, all three together) is deflationary. // UK! interesting is that consumer still borrows ie via credit card and mortgages. // question is how long UK can run such a big current account deficit. somebody has to pay for it, if not the gov with debt, then it has to be the private sector. as long as it can serve debt payments, as long as it has wage growth (increase of productivity, closing of output gap). But job creation during recovery was mostly Service Sector Jobs & self-employment. Not added value STEM. // corporate sector will not, in the long-run, pay for current account deficit w debt. &! youtu.be/EhYvaMc3f44
Richard  Koo  deflationary  book  mortgage  market  credit  card  private  debt  austerity  underinvestment  household  debt  current  account  deficit  UK  George  Osborne  David  Cameron  dogma  ideology  economic  history  economic  model  value  creation  added  value  STEM  productivity  productive  investment  infrastructure  investment  short-term  thinking  short-term  view  budget2015  public  investment  personal  investment  business  investment  economic  damage  microeconomic  policy  macroeconomic  policy  BOE  Mark  Carney  Toff  Privileged  Establishment  Tories  Conservative  Party  long-term  view  long-term  thinking  Career  Politicians  structural  deficit  Impediments  structural  unemployment  underemployed  part-time  Service  Sector  Jobs  job  creation  skills  gap  labour  market  labour  economics  Student  Maintenance  Grant  Higher  Education  policy  vocational  debt  loan  Gini  coefficient  social  mobility  income  mobility  welfare  state  poverty  trap  child  poverty  poverty  tax  code  working  tax  credit  corporate  tax  rate  child  tax  credit  tax  credit  tax  free  income  disposable  income  savings  rate  structural  imbalance  debt  servitude  ZIRP  NIRP  QE  fiscal  policy  fiscal  stimulus  monetary  policy  MervynKing  discretionary  spending  job  security  uncertainty  inequality  income  inequality  gender  inequality  propaganda  populism  media  conglomerate  manufactured  consent  skill-biased  technological  change  Funding  for  policy  gap  policy  policy  Lendin 
july 2015 by asterisk2a
www.bankofengland.co.uk/publications/Documents/speeches/2013/speech670.pdf
UK’s King Last Speech: UK needs more Bank of England stimulus as recovery is not assured. >> UK's future still uncertain. Reflective in Cable (GBPUSD). While others do much better. >> "Despite this encouraging picture, growth is not yet strong enough to reduce the considerable margin of spare capacity in the economy. Nor is recovery at an adequate rate fully assured. The weakness of the euro area and the problems of the UK banking system continue to act as a drag on growth. So the need to support the recovery remains. [...] unemployment remains unnecessarily high. [...] Both nominal and real interest rates are at unsustainably low levels. There is an understandable yearning for a return to normality [...] Monetary policy cannot provide the answer. [... Banking > ...] It is insufficient capital that restricts lending [+ holding not enough liquid assets]. And, without a resilient banking system, it will be difficult to sustain a recovery."
unemployment  monetary  policy  currency  war  Mark  Carney  reflation  zombie  banks  capital  monetary  transmission  mechanism  BOE  banking  crisis  Structural  Impediments  creditcrisis  Discount  Window  Facility  policy  folly  Recapitalisation  liquidity  QE  price  stability  inflation  targeting  fiscal  policy  UK  debt  monetisation  devaluation  political  error  imbalance  creditcrunch  Recapitalization  trustagent  hunt  for  yield  austerity  greatdepression  zombie  consumer  deleveraging  global  imbalances  inflation  debt  monetization  governance  balance  sheet  recession  Leverage  GFC  complexity  output-gap  unintended  consequences  liquidity-trap  debt  restructuring  monetary  system  too  big  to  jail  political  folly  bank  crisis  greatrecession  policy  error  debtoverhang  Special  Scheme  NIRP  trust  economic  history  confidence  youth  unemployment  unconventional  monetary  policy  ZIRP  MervynKing  toobigtofail  Funding  for  Lending  Scheme  corporate  governance 
june 2013 by asterisk2a
Mark Carney benefited more from Canada than Canada benefited from him - a scathing farewell | ForexLive
>> Central Bankers and Policy makers were on the back foot very much. [...] "Carney hit the panic button like every other central banker after Lehman collapsed. Even then, he didn’t hit it hard enough until December when the global economy was on its knees. Rates didn’t bottom until late April 2009 — more than a month after Bernanke proclaimed ‘green shoots’ in the US economy."
lehmanbrothers  monetary  policy  Fed  GFC  Mark  Carney  economic  history  benbernake  UK  BOE  greatdepression  Canada  MervynKing  BOC  centralbanks  greatrecession 
may 2013 by asterisk2a
Sir Mervyn King issues Help to Buy mortgage warning
The outgoing Bank of England governor warns a government plan to boost the housing market with part-mortgage guarantees has no long-term place. >> http://www.youtube.com/watch?v=2_gEzqfRltw - facilitating even more an unequal society. Political Voter Move.
QE  debtoverhang  NIRP  monetary  policy  2013  fiscal  policy  property  bubble  UK  reflation  Help  to  Buy  Scheme  bubble  ZIRP  BOE  greatdepression  deleveraging  MervynKing  Funding  for  Lending  Scheme  GeorgeOsborne  greatrecession  balance  sheet  recession 
may 2013 by asterisk2a
Economic policy: Paved with good intentions | The Economist
Although the debate [austerity] relates to the UK, I think it has a much wider resonance. And indeed, to a student of history, it has fascinating parallels; economic policy-making was rethought in the mid-1970s, but the same debates are popping up again. [...] Margaret Thatcher on ZIRP & QE "Let us print the money instead. Because what that is saying is let us quietly steal a cerain amount from every pound saved in building societies, in national savings, from every person who has been thrifty." [...] [ZIRP & QE is no free lunch - it has consequences, known and unknown, unintended.]
infrastructure  investment  monetary  policy  Margaret  Thatcher  Mark  Carney  Europe  reflation  zombie  banks  New  Normal  BOE  deflation  macroeconomics  macroeconomic  policy  QE  intellectual  fiscal  policy  free  lunch  UK  PIGS  debt  monetisation  Martin  Wolf  austerity  greatdepression  zombie  consumer  economic-thought  deleveraging  economics  debt  monetization  Richardkoo  liberal  economic  reform  IMF  GFC  output-gap  unintended  consequences  margaretthatcher  Troika  davidcameron  greatrecession  debtoverhang  economic  history  financial  repression  Super  Cycle  sovereign  debt  crisis  monetarism  ZIRP  demand-curve  PIIGS  fiscal  theory  supply-demand  MervynKing  GeorgeOsborne 
may 2013 by asterisk2a
BBC News - George Osborne warned by MPs over mortgage guarantee risks
Mr Osborne has said the housing market is still not functioning properly after the 2008 financial crisis, with the number of purchases by first-time buyers down 40% in the past five years. [...] >> haven't they learned anything? subprime and house price bubble created itself by state guarantees introduced by gwbush to push home owner ship. - history doesn't repeat, but rhymes - market prices though information. distortion by brining in more normally ineligible buyers. - Osborne tackling an effect of income stagnation and excessive inflation + zombie consumers and zombie banks. First-time buyers unable to put up deposit. >> http://www.zerohedge.com/news/2013-03-20/uk-discloses-home-purchase-subsidy-part-its-latest-2013-budget
microeconomic  policy  monetary  policy  complexity  asset  bubble  Mark  Carney  monetary  theory  reflation  unintended  consequences  zombie  banks  liquidity-trap  distortion  davidcameron  BOE  subprime  political  folly  policy  folly  QE  2013  Plan  B  short-term  thinking  microeconomics  disequilibrium  economic  history  gwbush  mortgage  fraud  UK  error  equilibrium  fanniemae  unconventional  monetary  policy  ZIRP  austerity  USA  housing  bubble  zombie  consumer  mortgage  market  MervynKing  subsidies  freddiemac  economics  Funding  for  Lending  Scheme  GeorgeOsborne  subsidizing 
april 2013 by asterisk2a
BBC News - Budget 2013 at a glance: George Osborne's key points
STATE OF THE ECONOMY :: Forecast growth of 0.6% in 2013, downgraded from 1.2% in December. But Office for Budget Responsibility predicts UK will escape recession this year. Growth predicted to be 1.8% in 2014; 2.3% in 2015; 2.7% in 2016 and 2.8% in 2017. BORROWING :: Borrowing of £114bn this year, up from previous £108bn forecast. Borrowing set to fall to £108bn, £97bn and £87bn, £61bn and £42bn in subsequent years. Corporation tax to be cut by 1% to 20% in 2015. Tax avoidance and evasion measures, including agreements with Isle of Man, Guernsey and Jersey, aimed at recouping £3bn in unpaid taxes. - BOE remit to be changed to focus on growth as well as inflation. -
budget  monetary  policy  2013  Mark  Carney  fiscal  policy  stagflation  UK  taxevasion  austerity  davidcameron  BOE  budget2013  greatdepression  MervynKing  GeorgeOsborne  greatrecession 
march 2013 by asterisk2a
BBC News - Banks reduce loans, in spite of Funding for Lending
The number of loans being offered by banks has continued to fall in spite of the Funding for Lending Scheme (FLS). The scheme, which began in August last year, was designed to encourage banks to lend more money, both to individuals and businesses, and boost the economy. But the Bank of England has announced that net lending fell by £2.4bn in the final quarter of last year compared with the previous three months.
monetary  policy  Mark  Carney  zombie  banks  BOE  deflation  2012  greatrecession  debtoverhang  2013  trust  fiscal  policy  UK  confidence  creditcrunch  sovereign  debt  crisis  trustagent  austerity  ZIRP  greatdepression  zombie  consumer  global  imbalances  MervynKing  Funding  for  Lending  Scheme  GeorgeOsborne  balance  sheet  recession 
march 2013 by asterisk2a
Großbritannien Rating: Entzug der Top-Bonität trifft Cameron - SPIEGEL ONLINE
Aber kein Volkswirt oder Analyst zeigte sich wirklich überrascht. "Diese Herabstufung sagt uns nichts, was wir nicht schon wussten", bloggte Tim Morgan, Chef-Analyst der Brokerfirma Tullett Prebon. "Großbritannien ist ein Schulden-Junkie, unfähig, mit seinen Mitteln auszukommen." Das Verdikt von Moody's werde keine ernsten Folgen haben, prognostizierte "Financial Times"-Kolumnist Martin Wolf. Es ändere nichts an der Markt-Einschätzung der britischen Konjunktur oder der Staatsfinanzen. Osborne hatte seine Ziele für den Defizitabbau bereits mehrfach korrigieren müssen, das Ziel eines ausgeglichenen Haushalts war von ursprünglich 2015 bereits auf 2018 verschoben worden. Die Herabstufung stand seit Monaten im Raum. Entsprechend moderat reagierten die Marktteilnehmer auf die Ankündigung von Moody's. Das Pfund fiel am Montag zwar auf den tiefsten Stand gegenüber Dollar und Euro seit 2011. Doch setzte die Währung nur den graduellen Sinkflug der vergangenen Wochen fort, es gab keinen Einbru
austerity  BOE  2013  creditrating  Mark  Carney  2012  economy  MervynKing  UK  ratingagencies  greatrecession 
february 2013 by asterisk2a
BBC News - Mark Carney named new Bank of England governor
+ http://www.bbc.co.uk/news/business-20503377

But Mr Osborne was keen to get his preferred central governor, because Mr Carney was widely perceived to have all the bits: he is admired by monetary economists, regulators and - allegedly - his staff (or to put it another way, he is an unusual economist and central banker, in that he is seen as a half-decent manager).

[...]

So where does the controversy - if any - lie in the Carney pick?

Well, it is yet another promotion for a Goldman Sachs alumnus (the two most important central banks in Europe, the ECB and the Bank of England, will be run by former Goldman managing directors).

- But he has no MIT connection. Just went to Harvard (US) and Oxford (UK).

+ http://www.businessweek.com/articles/2012-11-26/blanchflower-to-replace-bernanke

George Gideon Oliver Osbourne, MP, Chancellor of the Exchequer, Second Lord of the Treasury, takes home the trophy for boldest economic move of this global financial crisis.
GoldmanSachs  2012  GeorgeOsborne  MervynKing  Mark  Carney  BOE 
november 2012 by asterisk2a
Europe's Largest Insurer Allianz Not Amused That Central Banks Are Involved In Liborgate | ZeroHedge
"Europe's biggest insurer, Allianz, is worried about the role central banks may have played in an interest rate rigging scandal that has enveloped some leading international lenders, the insurer's chief financial officer said on Friday. "We do not find it funny, what has happened, in particular the arising implication that it is not just the banks but central banks being involved in this," Oliver Baete told a conference call with analysts. "That really gives us cause for concern," Baete added." Of course, neither the ECB nor the FED could care much, considering that Allianz would be immediately insolvent if the same central banks who manipulated Libor stopped manipulating interest rates... which is implicitly what Allianz is unhappy about.

http://www.reuters.com/article/2012/08/03/allianz-libor-idUSL6E8J3P9720120803
policy  folly  policy  error  unintended  consequences  deleveraging  debtoverhang  balance  sheet  recession  lostdecade  greatrecession  GFC  reflation  sovereign  debt  crisis  bond  bubble  ponzischeme  PIMCO  MarioDraghi  PaulTucker  collusion  banking  crisis  bank  crisis  MervynKing  timgeithner  Fed  BBA  BOE  NYFed  ECB  centralbanks  Stockholm  Syndrome  LIBOR  rigging  scandal 
august 2012 by asterisk2a
Barofsky On Geithner: "We Should See People In Handcuffs" | ZeroHedge
Neil Barofsky continues his vendetta against NYFed/Fed/Tim Geithner

because Fed, NYFed and BOE (and BBA) knew of LIBOR rigging, and they allowed it to happen (and continue) in a system whose very survival is increasingly reliant on rampant criminality (rigging and non-transparent indicators of solvency).

Barofsky says is that Geithner and other regulators who allowed Lieborgate to proceed should not only lose their job but we should "see [Geithner] in handcuffs."
bank  crisis  banking  crisis  greatrecession  GFC  transparency  incentive  accountability  toobigtofail  NYFed  BBA  misconduct  fraud  MervynKing  PaulTucker  BOE  collusion  LIBOR  rigging  scandal  barofsky  timgeithner 
july 2012 by asterisk2a
Lieborgate: Here Come The Arrests | ZeroHedge
Barclays essentially threw years of quiet cartel cooperation under the bus. As a result, regulators, enforcers, and legal authorities, many of whom were in on this manipulation from the beginning, no longer had an excuse to not pursue civil and criminal charges against perpetrators, who until recently were footing the tabs at various gentlemen's venues and ultra expensive restaurants.

+

BBA changed some text on its website. Cover-up!?

-

Exclusive: Prosecutors, regulators close to making Libor arrests

http://www.reuters.com/article/2012/07/22/us-banking-libor-criminal-idUSBRE86L0CC20120722

-

Scandal will almost certainly end up as the biggest financial settlement in history (combined all).
trustagent  trust  banking  crisis  bank  crisis  governance  corporate  governance  BBA  MervynKing  timgeithner  accountability  bobdiamond  PaulTucker  BOE  Fed  NYFed  LIBOR  rigging  scandal  oligopol  cartel 
july 2012 by asterisk2a
Simon Johnson: The Federal Reserve and the Libor Scandal - NYTimes.com
Bernanke on banking scandals: “I think the real issue is too big to fail,” correct, but the market cannot fix this

http://graphics8.nytimes.com/packages/pdf/business/Geithner-Memo-080601.pdf
This New York Fed memo stands out as a model of clear thinking about the deep governance problems that allowed Libor to become rigged.
At the same time, the timing and content of the memo raises troubling questions regarding the Fed’s own involvement in the Libor scandal – both then and now.

http://online.wsj.com/public/resources/documents/enfbarclaysorder062712.pdf

According to the recent order against and settlement with Barclays by the Commodity Futures Trading Commission, the Libor “market” had by 2005 become a hotbed of collusion and price-fixing

*
Fed is responsible 4 the “safety and soundness” of the financial system in the USA, THEY had to make a decision, either to let them fail (GFC) and thus the economy, the people and the world. LIBOR rigging scandal and TBTF is the aftermath et al
lobby  credibility  society  double-standard  WallStreet  corporate  governance  governance  accountability  confidence  trustagent  trust  2012  2008  bailout  BBA  misconduct  fraud  barclays  CFTC  MervynKing  timgeithner  PaulTucker  BOJ  ECB  BOE  Fed  NYFed  bank  crisis  banking  crisis  greatrecession  moral  moralhazard  GFC  toobigtofail  LIBOR  rigging  scandal  benbernake 
july 2012 by asterisk2a
Bank of England governor claims he only knew of misreporting of Libor TWO WEEKS ago despite US warning in 2008 | Mail Online
Bank of England governor claims he only knew of misreporting of Libor TWO WEEKS ago despite US warning in 2008

Deputy governor Paul Tucker said the warning from the US 'did not set alarm bells ringing'
Emails have emerged showing the close relationship between Mr Tucker and former Barclays boss Bob Diamond
Labour MP claims the emails show the Bank of England 'tried to get banks to lower Libor rate'
Sir Mervyn told MPs that Barclays was in a 'state of denial' over regulatory concerns with the bank
He said the bank sailed 'too close to the wind' several times with regulators and said it was time to create 'a new bank with a new culture'

---
* Obvious that during 2007/08/09 - everything was on the table to save the banks from collapse (the financial system, and global economy) and national bailouts. Obvious that they don't want to admit that they were willing to cross several lines (morally, ethically, and concerning laws). DOJ's & SFO job is to prosecute even at the top now!
confidence  trustagent  trust  2008  banking  crisis  bank  crisis  transparency  accountability  Willful  ignorance  fraud  misconduct  GFC  NYFed  BBA  bobdiamond  BOE  MervynKing  PaulTucker  LIBOR  rigging  scandal 
july 2012 by asterisk2a
Skandal um Libor: Neue Vorwürfe gegen Bank of England - SPIEGEL ONLINE
Die Bank of England hängt mittendrin im vielleicht größten Finanzskandal der vergangenen Jahre. Immer mehr Hinweise deuten darauf hin, dass sie von den mutmaßlichen Manipulationen des Bankenzinses Libor wusste - auch wenn sie dies beharrlich zurückweist.

Der Deutschen Bank drohen Milliardenkosten

Anderen Banken drohen noch höhere Kosten durch die Affäre. Analysten des US-Instituts Morgan Stanley schätzen, dass allein die Bußgelder für die beteiligten Banken zwischen 450 und 850 Millionen Dollar liegen könnten. Hinzu könnten mögliche Schadensersatzzahlungen an Investoren kommen. Hier sieht Morgan Stanley die Deutsche Bank besonders gefährdet. Auf das Frankfurter Institut könnten in den Jahren 2013 und 2014 Kosten von mehr als einer Milliarde Dollar zukommen. In den USA wurden bereits mehrere Sammelklagen eingereicht, ...
deutschebank  barclays  PaulTucker  GFC  2008  BBA  NYFed  timgeithner  MervynKing  BOE  LIBOR  rigging  scandal 
july 2012 by asterisk2a
Geithner to King - Memo about LIBOR - June 2008
NY Fed understood depth of problem with Libor in June 2008, http://t.co/NvC10QBm: did they work with CFTC for immediate corrective action?

---

"1. Strengthen governance and establish a credible reporting procedure

[...]

"6. Eliminate incentive to misreport"

Meaning they knew things were murky with LIBOR, making it a secret secret among the few. Not publicly talking about it, and ignoring media reports about LIBOR.
GFC  2012  2008  PaulTucker  Fed  NYFed  BBA  BOE  timgeithner  MervynKing  LIBOR  rigging  scandal 
july 2012 by asterisk2a
BBC News - Barclays - a day of unanswered questions
A whistleblower at the Financial Services Authority (FSA) has already told the committee he believes the FSA has e-mail evidence of exchanges between the Barclays and the Bank of England about the Libor rate.

At the very least we need Tucker's written account of his own side of that conversation. So far he has volunteered no account and has been screened behind the Bank of England's press operation, which says they can't comment on anything not in the FSA judgment.

At the level of Barclays' senior management we need to know - and this is the critical question: why did Jerry del Missier form the opinion that Tucker had ordered the rigging of Libor?

If that were me, and I was ordered to breach my professional and industry rules, I would be checking the exact meaning with the boss I have just spoken to. We need to know what Del Missier actually did.

Bob Diamond, so far, he has not admitted culpability - only responsibility.

*
SFO, FSA and DOJ (USA) need to start bringing charges.
confidence  2012  2008  creditcrunch  greatrecession  GFC  bank  crisis  banking  crisis  manipulation  DOJ  SFO  transparency  accountability  trustagent  trust  Willful  ignorance  misconduct  fraud  politics  AlistairDarling  EdBalls  gordonbrown  USA  Fed  NYFed  MervynKing  UK  BBA  FSA  bobdiamond  barclays  EURIBOR  LIBOR  LIBOR  rigging  scandal  BOE  PaulTucker 
july 2012 by asterisk2a
Diamond lets loose over Libor - FT.com
Mr Diamond quit after the governor of the Bank of England, Sir Mervyn King, and the head of the Financial Services Authority, Lord Turner, in effect called for his departure in late night phone calls on Monday to Marcus Agius, Barclays chairman.

But Barclays soon dragged Paul Tucker, deputy BoE governor, and “senior Whitehall figures” from the previous government into the controversy by publishing a document suggesting they may have known of – and even condoned – the bank’s repeated “lowballing” of its submissions to the rate-setting process during the financial crisis.
The bank released Mr Diamond’s contemporaneous notes of a 2008 conversation – one of only three “notes to file” he has written in his career – in which he wrote that Mr Tucker had passed on concerns from Whitehall about Barclays’ Libor submissions, adding that “it did not always need to be the case that we appeared as high as we have recently”.
AlistairDarling  EdBalls  gordonbrown  MervynKing  GeorgeOsborne  davidcameron  UK  politics  culture  negligence  misconduct  fraud  creditcrunch  bank  crisis  banking  crisis  FSA  BBA  greatrecession  GFC  BoE  2012  2008  EURIBOR  LIBOR  PaulTucker  barclays  bobdiamond 
july 2012 by asterisk2a
King adds to gloom over UK economy - FT.com
Sir Mervyn King and other Bank of England policy makers warned MPs on Tuesday that the economic situation had deteriorated so severely that they had ripped-up their forecasts of six weeks’ ago.

In some of his bleakest remarks to date, coming soon after weak public finance figures, he cautioned the public not to think Britain was even half-way through the crisis, which started almost five years ago.

Mr King said, “I have no idea what is going to happen in the euro area”.

“It is impossible to imagine a situation in which you just do not know what the situation will be in a part of the world that is close to you and is half of your trade. And that makes it impossible to engage in any sensible forecasting.”
economy  monetary  policy  ZIRP  QE  BOE  politics  policy  folly  policy  error  uncertainty  forecast  academics  academia  economics  economic  history  economic-thought  economic  model  contagion  EMU  Europe  greatrecession  sovereign  debt  crisis  GFC  UK  MervynKing 
june 2012 by asterisk2a
Financial transaction tax on City would help rebalance Britain's economy | Business | The Guardian
Financial transaction tax on city would help rebalance Britain’s economy

With Germany, France , Italy and Spain all in favour of the FTT, George Osborne ‘s assumption is that such a tax could raise costs in those countries and drive business into London…

***

Britain could have cut up rough about a so-called Tobin tax, but Osborne has decided that the aggro is not worth it. His assumption is that a financial transaction tax (FTT) will raise costs in Frankfurt, Paris, Milan and Madrid, and so drive business to the City.

The chancellor is also dubious about claims that the money will be spent on "good causes" such as development aid or helping poor countries adapt to climate change. In the event that an FTT does prove to be a cash cow, Osborne thinks hard-up European governments will use it to reduce their budget deficits.

*
also in the article, imbalances of UK economy, and that a FTT will make the imbalance worse.
davidcameron  economic-thought  economic  model  2012  economy  greatrecession  GFC  economics  comparative  advantage  MervynKing  BoE  FSA  GeorgeOsborne  UK  tobin-tax  financialtransactionfee 
june 2012 by asterisk2a
Osborne’s £100bn plan for UK economy - FT.com
George Osborne on Thursday night announced plans for a £100bn support programme for the British economy,

Sir Mervyn also raised the prospect of a new round of quantitative easing, saying that “the case for a further monetary easing is growing”.

At the heart of the package is a BoE “funding for lending” scheme to cut bank funding costs in exchange for lending commitments. The Treasury claims the programme, designed to address the rising costs of loans and mortgages, could support an estimated £80bn in new loans.

the BoE will also on Friday activate an emergency scheme that offers six-month liquidity to banks in tranches of no less than £5bn a month.

***

1 1/2 weeks ago IMF did present such a scheme in its latest report about UK economy and did encourage UK do to so if situation deteriorates further.
IMF  MervynKing  creditcrunch  banking  Funding  for  Lending  Scheme  monetary  policy  fiscal  policy  ZIRP  QE  greatrecession  UK  2012  GeorgeOsborne  BOE 
june 2012 by asterisk2a
Gross Says Low Quality of Debt Threatens Monetary System - Bloomberg
Bill Gross said the lower quality of sovereign debt represents a threat to the global monetary system.
Investors should favor debt of nations such as the U.S., Mexico and Brazil, and emphasize intermediate maturities over the next few years, Gross said in his monthly investment outlook posted on the Newport Beach, California-based company’s website today. Equity investors should seek companies that produce stable cash flow and that are exposed to high growth markets.

http://www.zerohedge.com/news/bill-gross-global-monetary-system-reaching-its-breaking-point

“The global monetary system which has evolved and morphed over the past century but always in the direction of easier, cheaper and more abundant credit, may have reached a point at which it can no longer operate efficiently and equitably to promote growth,”

The U.S. remains the ‘liquidity haven and a quality haven for the rest of the world, This is one giant deleveraging moment that will likely continue for a number of years.”
WallStreet  fiscal  policy  inflation  reflation  debtoverhang  Monetary  System  currency-war  currency  debasement  MarioDraghi  UK  BOE  MervynKing  trichet  benbernake  alangreenspan  bubble  banking  deleveraging  policy  folly  policy  error  policy  LTRO  USA  Europe  greatrecession  GFC  PIMCO  sovereign  debt  crisis  unintended  consequences  QE  ZIRP 
june 2012 by asterisk2a
BBC News - Bank governor warns of eurozone crisis 'storm'
"the euro area, is tearing itself apart without any obvious solution."

"The idea that we could reasonably hope to sail serenely through this with growth close to the long-run average and inflation at 2% strikes me as wholly unrealistic," Sir Mervyn said.

The Bank's report said, however, that the eurozone crisis was not the only issue weighing on the UK economy, with volatile energy and commodity costs, and the squeeze on household earnings also having an impact.

It all meant that the UK economy would not return to pre-financial crisis levels before 2014, Sir Mervyn said.
UK  sovereign  debt  crisis  greatrecession  Europe  PIIGS  2012  MervynKing 
may 2012 by asterisk2a
BBC News - Today - BoE governor says Jubilee will affect economy
Mervyn King: Long way to go till back to normal. Will and can not make a prediction when this will be.

Debt Overhang, Austerity, Bank Problems,

Unemployment, long-term unemployment becomes structural problem.
austerity  greatrecession  economy  UK  2012  MervynKing 
march 2012 by asterisk2a
Eurozone crisis: live blog | The World | International affairs blog from the FT – FT.com
11.15: Mervyn King, the governor of the Bank of England, has been speaking to the UK parliament’s treasury committee this morning, suggesting that some of the hype about the LTRO is unjustified.

“The idea that the long term repo operations have eased the supply of finance to small businesses in the euro area is a myth.
“What it has done is to provide a source of funding to banks particularly in the southern member countries of the euro area which were experiencing a bank run, enabling them to fund the withdrawal of funds.”

- indeed, it just helped to avert a liquidity (& thus credit crunch, followed by deflationary pressures later) squeeze in the European banking system.

- but everything after the 2nd 3yr LTRO operation will have less impact. On the margin, it becomes less effective. With each new operation.

- ECB's Nowotny noted recently that they see Banks being addicted to cheap liquidity, that it is an issue.
monetary  policy  unintended  consequences  QE  ZIRP  Europe  sovereign  debt  crisis  PIIGS  bankrun  creditcrunch  BOE  ECB  2012  MervynKing  LTRO 
march 2012 by asterisk2a
Dovish Bank of England MPC minutes-dismal unemployment figures | TradingFloor.com
no second round effects of inflation
growth remains depressed
austerity will be continued

‘there remained little evidence that above-target CPI inflation had begun to feed through to wages’.

 September’s meeting will be dovish in the extreme - with the reintroduction of QE a fifty/fifty chance-if it doesn’t come then, it will before Christmas.

Today also saw the release of U.K. unemployment figures, which were universally dismal
BOE  August  MPC  minutes  2011  MervynKing  UK  inflation  wages  disposable  income  austerity  economy  unemployment 
august 2011 by asterisk2a
Nouriel Roubini: 'We haven't seen the last of financial crises' - Profiles, People - The Independent
"I have got a team of 50 people who follow every aspect of the world economy, not just in advanced and emerging economies, but in exotic markets in Africa and central Asia and the Middle East. Most banks don't have a single person looking at the Middle East. We have no conflict of interest because we don't manage money... we don't invest ourselves". As for the Dr Doom thing he responds: "I'm not Dr Doom – I'm Dr Realist".

"Well, my advice – and I spoke with him [Osborne] on a couple of occasions – has been about too much fiscal austerity – though it was necessary, too much of it was front-loaded. He was making the argument that, if the austerity is too front-loaded and it was going to have a negative effect on demand, then it would be the job of the Bank of England to stimulate growth through monetary policy.
NourielRoubini  BOE  uk  growth  outlook  economy  economics  monetary  fiscal  policy  MervynKing  GeorgeOsborne  davidcameron  austerity 
may 2011 by asterisk2a
Why Bank of England policymakers don't want to raise interest rates - Telegraph
Mervyn King himself put his finger on what's really driving monetary policy and it's not inflation. Trying to maintain some economic momentum is one factor. But probably a much bigger one is debt, the theme of King's speech on Monday in Brussels. Tightening monetary policy could have "severe consequences" warned King.
monetary  policy  MervynKing  BoE  sovereign  debt  inflation 
may 2011 by asterisk2a
Bank of England Governor Mervyn King warns on interest rate rise - Telegraph
"The economic consequences of high-level indebtedness now would become more severe if rates were to rise,” Mr King said. “It is the main reason why interest rates are so low.”He added it would take a number of years to repair the damage across Europe caused by the financial crisis. “The economic challenges will last for many years...The financial crisis is far from over,” he said in his capacity as deputy chair of the European Systemic Risk Board (ESRB).

Experts believe the latest GDP figures – showing a lacklustre 0.5pc rise between January and March – destroyed any chance of a rate hike in May.
ESRB  EuropeanSystemicRiskBoard  BOE  MervynKing  2011  monetary  policy  sovereign  debt  UK  GDP 
may 2011 by asterisk2a
Bank of England advisers 'not told about secret £62bn bank bailout' | Mail Online
A failure to communicate
-- bailout, secrecy.
-- proves again, that gov is ineffective
HBOS  bailout  uk  BoE  MervynKing  2008  2009  NorthernRock  communication  failure 
december 2009 by asterisk2a

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