Skip to main content

PPIP "Greatest boondoggle in history"

Last week while thinking about the stress tests and the fact that US banks won concessions on the stringency requirements of these already laughable government exercises, it occurred to me that when all is said and done, this latest chapter in American history could end up making Teapot Dome look like a freaking anthill.

While I usually try to steer clear of hyperbole, it seems that one person who's been speaking out against the stress tests and the PPIP, William Black, agrees. Last week in an interview with Tech Ticker, Black even went so far as to call Geithner's Public-Private Investment Program (PPIP) "the greatest boondoggle in the history of the world".



Here are some choice quotes and main points from Yahoo's summary of the Tech Ticker interview:

"The PPIP is the "greatest boondoggle in the history of the world," says Black, a former bank regulator who was counsel to the Federal Home Loan Bank Board during the S&L crisis. As occurred during the S&L era, Black says the PPIP will allow banks to exchange "trash for cash" and turn "real losses into faulty gains."

If the goal of Tim Geithner and other regulators was "to rip off the American taxpayer for the benefit of the least-deserving wealthiest people you can imagine, well - mission accomplished," Black says. "

Is William Black right, or is he exaggerating? We'll soon find out, but in the meantime check out this interview (if you haven't already) and the related articles and posts for a very brief and to the point explanation of these rather complicated issues.

Related articles and posts:

1. Stress test optimism just Wall St. propaganda - Tech Ticker.

2. How banks cut stress test cap requirements in half - Big Picture.

3. William Black: "stress tests are a farce" - Finance Trends.

Popular posts from this blog

New! Finance Trends now at FinanceTrendsLetter.com

Update for our readers: Finance Trends has a new URL!  Please bookmark our new web address at Financetrendsletter.com Readers sticking with RSS updates should point your feed readers to our new Finance Trends feedburner .   Thank you to all of our loyal readers who have been with us since the early days. Exciting stuff to come in the weeks ahead! As a quick reminder, you can subscribe to our free email list to receive the Finance Trends Newsletter . You'll receive email updates about once every 4-8 weeks (about 2-3 times per quarter).  Stay up to date with our real-time insights and updates on Twitter .

Moneyball: How the Red Sox Win Championships

Welcome, readers . T o get the first look at brand new posts (like the following piece) and to receive our exclusive email list updates, please subscribe to the Finance Trends Newsletter .   The Boston Red Sox won their fourth World Series title of t he 21st century this we ek. Having won their first Se ries in 86 years back in 200 4, the last decade-plus has marked a very strong return to form for one of baseball's oldest big league clubs. So how did they do it? Quick background: in late 2002, team own er and hedge fund manager, John W. Henry (with his partners ) bought the Boston Red Sox and its historic Fenway Park for a reported sum of $ 695 million. Henry and Co. quickly set out to find their ideal General Manager (GM) to help turn around their newly acquired, ailing ship. This brings us to one of my fav orite scenes from the 2011 film , Moneyball , in which John W. Henry (played by Ar liss Howard) attempts to woo Oakland A's GM Billy Beane (Brad Pi

Jukebox

Tonight's jukebox is a blast back to the mid-1980's with a live in studio performance by New Order for BBC Radio 1. There are some very noticeable flubs in their performance (I think Bernard may have been feeling a little "rushed"), but the songs are amazing and it's like being an eyewitness to a studio rehearsal. An excellent video snapshot of one of the most inventive modern pop groups doing their thing. Enjoy, and thanks Adz! New Order, live 1984: "Sooner Than You Think" , "Age of Consent" , "Blue Monday" , "In a Lonely Place" , "Temptation" .