Treasury Secretary Timothy Geithner has expressed opposition to the possible nomination of Elizabeth Warren to head the Consumer Financial Protection Bureau, according to a source with knowledge of Geithner's views, the Huffington Post writes.
This is going to be a big battle. The public is sure to lose. Geithner represents the worst of Wall Street. The part of Wall Street that plays footsie with government. Warren has never ever seen a regulation she doesn't like. Her view plays nicely with President Obama's socialist intellectual leanings.
If Geithner wins this battle, the consumer financial world will be structured in a way so that the elite will be able to scrape more off the top. If Warren wins the battle, she will institute so many regulations that many small banks will close down and the back alley loan shark will replace pay day loan operations.
In all her mad declarations, I see no indication that she has any clue as to how the economy works, how incentive works, how entrepreneurship works, how profit works. In short, given enough time, she could very well drive the entire consumer financial industry into the arms of government.
Then, while there is still money left, it will be handed out based not on ability to pay, but based on politically correct demographics that will drive statists to victory at the polling booth.
If anyone has the potential to drive the United States at Mach speed in the direction that will turn the country into a Banana Republic, it is Warren.
Remember, the new CFPB will operate under the umbrella of the Federal Reserve, with pretty much a blank check and the power to do anything it wants. Not even Bernanke gets to supervise it. He just gets to pay the bills.
This is a battle between a bunch of evil bastards, but in this battle I'll take Geithner's crooks over Warren's any day.
Wenzel,
ReplyDeleteI am not sure I can sign off on the "lesser of two evils" remark but I do appreciate you bashing Warren a bit, on record. It's getting sickening listening to people cheer her on as if she is some kind of improvement (from the viewpoint of sound economics, finance and concern for liberty) from the status quo. She is undoubtedly a technocratic tyrant waiting in the wings.
The ZH crowd is especially guilty of holding this witch up as a savior.
First, what is ZH?
ReplyDeleteSecond, when are the brightest minds in economics going to hold some sort of regular rountable...picking apart the various nonsensical ideas and outing the people who are held in such high public esteem?
The roundtable could be every month with people like Wenzel...people who can and will blast these idiots out of the water without fear of losing an election or offending anyone. C-SPAN could cover it and video clips from it could flood youtube, especially if both liberals/Democrats and conservative/Republicans are bashed. Why aren't such rountables happening? I see panels of Keynesians, interventionists and FED-worshippers all the time.