Wednesday, October 21, 2009

Brown and Obama favour the big banks heavily regulated - I wonder why ?

Nationalisation has until very recently been out, and yet one of the main aims of the socialist has been to control the banks.

Thanks to the mismanagement of Bush and Brown ( with supporting roles from the Middle East and China fuelling the asset bubble all this was built upon ) our banks where challenged in such a way that we could not let them fail.

The socialists ( Obama and Brown via the G20 ) think these means state control of a few large banks that will eventually be instructed what to do ( which is where more regulation will go eventually ).

The free marketer want smaller banks that can go bust without tax payer intervention. ( As argued for by Mervyn King this week )

So its corporatism and socialism vs freedom and the free market. An interesting, if familiar, dividing line ...

1 comment:

James Higham said...

Yes but in America, they already are - by JPM, GMS and the like, which controls the government and the issue of coin through the Fed anyway.