“Looking past the immediate crisis, a more resilient system must be built on stronger and better designed shock absorbers, both in the major institutions and in the infrastructure of the financial system.” PastMajorsBuiltStrongerCrisisInstitutionsFinancialShockInfrastructureResilientFinancial SystemShock Absorber Author:Timothy Geithner
“These public-private partnerships are very, very dangerous. The most rotten part of the financial system in the US consisted of the government sponsored entities, Fannie Mae and Freddie Mac. They really kicked off this crisis. The state should set the rules and enforce them - but not become involved as a market player.” ShouldStatesGovernmentPlayerDangerousInvolvedCrisisFinancialPartnershipEntityRottenFinancial SystemPrivate Parts Author:George Soros
“The global crisis is caused by pathologies inherent in the global financial system itself.” CrisisFinancialInherentPathologyFinancial System Author:George Soros
“By rescuing the financial system without reforming it, Washington has done nothing to protect us from a new crisis, and, in fact, has made another crisis more likely.” MadeDoneFactsProtectCrisisFinancialFinancial System Author:Paul Krugman
“President Obama has a good sense not just of the economic requisites for financial crisis firefighting but also how you build political support for moving forward on reforming the financial system, making sure that the banks are carrying enough capital.” EnoughMovingPoliticalPresidentSupportEconomicCrisisFinancialMoving ForwardPresident ObamaGood SenseFinancial CrisisFinancial SystemFirefighting Author:Lael Brainard
“When I was a Senator from New York, I represented and worked with so many talented principled people who made their living in finance. But even thought I represented them and did all I could to make sure they continued to prosper, I called for closing the carried interest loophole and addressing skyrocketing CEO pay. I also was calling in '06, '07 for doing something about the mortgage crisis, because I saw every day from Wall Street literally to main streets across New York how a well-functioning financial system is essential.” PeopleWellsMadeInterestPaySawsStreetsNew YorkWallCallingEssentialsCrisisFinancialFinanceSenatorsCeoClosingMortgageLoopholesPrincipledFinancial SystemMain StreetMortgage Crisis Author:Hillary Clinton
“Keep in mind that, when I came in, we had had a crisis that was the worst we've seen since the 1930s, and working with people like Chancellor Merkel, working with the G-20 and other institutions internationally, we were able to stabilize the financial system, stabilize the US economy and return to growth.” PeopleMindAbleGrowthEconomyWorstReturnCrisisInstitutionsFinancial1930sFinancial System Author:Barack Obama
“The global financial crisis is a great opportunity to showcase and propagate both causal and moral institutional analysis. The crisis shows major flaws in the way the US financial system is regulated and, more importantly, in our political system, which is essentially a bazaar of legalized bribery where financial institutions can buy themselves the governmental regulations they want, along with the regulators who routinely receive lucrative jobs in the industry whose oversight had formerly been their responsibility, the so-called revolving-door practice.” WayWantShowsJobsPoliticalOpportunityResponsibilityMoralPracticeDoorsIndustryMajorsCrisisInstitutionsFinancialAnalysisFlawsRegulationPolitical SystemsGreat OpportunityFinancial CrisisOversightBriberyRevolvingRegulatorsFinancial SystemShowcaseFinancial InstitutionsRevolving DoorsBazaars Author:Thomas Pogge
“The President [Barack Obama], I think if you look at it from his shoes, you know, was facing a very difficult situation where he had to own Washington, tame New York, save a collapsing economy, with a collapsed financial system. He moved, I think, to a team that he felt was tried and true, in terms of dealing with financial crisis. That was his decision.” IfsThinkingKnowsLooksFeltDifficultPresidentTermDecisionSituationEconomyTeamNew YorkCrisisMovedShoesFinancialBarackPresident Barack ObamaFinancial CrisisDifficult SituationsFinancial System Author:Ron Suskind
“The lesson of history is that you do not get a sustained economic recovery as long as the financial system is in crisis.” LongEconomicLessonsCrisisFinancialRecoveryFinancial SystemEconomic Recovery Author:Ben Bernanke
“In the financial system we have today, with less risk concentrated in banks, the probability of systemic financial crises may be lower than in traditional bank-centered financial systems” MayTodayRiskCrisisFinancialTraditionalProbabilityFinancial CrisisFinancial SystemFinancial Risk Author:Timothy Geithner
“We are inheriting the worst financial system since the Depression. We're inheriting a situation - when people go back and study major banking crises a quarter century from now, the one that America developed in 2007 and 2008 is going to be one of those crises.” PeopleAmericaSituationStudyWorstCenturyMajorsCrisisFinancialQuartersBankingFinancial SystemBanking Crisis Author:Lawrence Summers
“I and others were mistaken early on in saying that the subprime crisis would be contained. The causal relationship between the housing problem and the broad financial system was very complex and difficult to predict.” ProblemWould BeDifficultCrisisComplexesFinancialBroadsMistakenHousingFinancial System Author:Ben Bernanke