Quote:
Originally Posted by RedFred
Same thing on steroids. Much bigger tax cuts, much bigger cutting of banking and consumer regulations and bigger deficits. The two biggest things that fucked the economy up in '09. We will totally be unprepared when the next recession hits (and it's coming) and you know the way Trump will deal with it will be 'fake news'.
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Exactly
As the economy has started to unravel Trump just removed the bank restrictions that Obama put in place to protect from another financial collapse.
This is a critical mistake. Look at what Trump did yesterday:
"The Federal Reserve said it would adjust the structure of its annual “stress tests,” which measure the ability of leading banks to withstand a potential economic or financial storm. The changes make it easier for banks to get regulatory approval to pay higher dividends or buy back their own shares.
Separately,
a federal oversight panel announced that it will no longer designate big, non-bank financial institutions — insurers, asset managers and the like — as “systemically important.” The classification subjected such firms to more intrusive government regulation."
"The bigger change is the Fed’s adjustments to how it conducts its stress tests of 11 of the biggest banks that received government bailouts in 2008.
The Fed said on Wednesday that it would end its practice of awarding “pass” or “fail” grades to banks on a portion of the stress tests that measured the capacity of banks to keep lending during a financial crisis or economic downturn. This so-called qualitative section of the test also measured the strength of their risk management and anti-money laundering systems."
https://www.nytimes.com/2019/03/06/b...egulation.html
No more pass/fail stress tests for the biggest 11 banks, on top of all the other protections removed. So smart /s