Monday, November 23, 2009

Everybody Hates Goldman Sachs

...And that includes officially the New York Times. Its editorial on that company is here.

While I do agree with the editorial's outrage at Goldman's cynical PR to redress its tattered image, I do strong believe there are other equally guilty culprits: Hank Paulson when he was Treasury Secretary who did not set the right carrot and stick framework to help out his former friends and colleagues at Goldman as well as other "too big to fail" Wall Street firms. His policy was all carrot.

Then there is Team Obama who should have plugged all the loopholes Paulson had bequeathed them. Instead, Geithner and Summers continued to look the other way while the Feds handed out a king's ransom to further help out Wall Street wholesale.

So, NY Times should have asked for a full accounting of what Paulson did or did not do, the resignation of Geithner and Summers as well as all the once-off tax on 2009/2008 bonuses to be credited back to the taxpayers.

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