New Orleans Last evening I was being interviewed by Diego Mulligan for his talk and comment show on KSFR in Santa Fe, New Mexico about Citizen Wealth. He raised the point about a news report that $30 billion went out in bonuses to executives and traders at nine of the banks that received gazillions in federal bailout dollars, so we found ourselves talking about the equity gap that still persists in America today. What have we learned from the meltdown really?
The “me first” policy in Wall Street which is confounding citizens and politicians is leading to a systemic breakdown and thwarting more than one public policy initiative it now seems. I don’t know if this is a “crisis of the commons,” or something more atavistic and dog-eat-dog that puts individual interests so far above the common good that these folks can’t even see us down here any longer.
Wall Street’s excess is beyond the imagination. The fact that these firms were paying out over $30 billion in bonuses while getting federal bailout dollars of over $80 billion is a fundamental breach with reality. This money is fungible. These bonuses should never have been paid. Who was running these shops, and why are they not all unemployed now?!?