Part II: Geithner, Obama Kowtowing to "Massively Corrupted" Banks, Galbraith Says

Instead of "too big to fail", they should be considered "too big to save!"

Geithner will be made a scapegoat and fired in a matter of weeks. But in the meantime, he will allow the ruling class to loot the Treasury with no restraint.

And we should be surprised by this? Bush and Paulson did the same thing, instead of the right thing. Obama is no different. He's protecting Wall St, and the inept Congressmen.

Yes! Stop giving them our money. Give us back our own money and allow us to stimulate the economy. We don't need the banks to lend us money. We need more or our own money in the first place.

It is a sad commentary that the creeps who did this to the country get a pass. Perp walks would certainly curtail the greed going forward. Too bad that we have so much influence buying by the corrupt ones!

Perhaps the learned Professor would explain why the financial system almost collapsed when Lehmann's was allowed to fail. That is why any further such failures are deemed too risky by governments

No real "perp walks", because a number of congressmen would be at the head of the line...

I fail to understand why this is not being done. I do realize that stockholders will be wiped out, and that in the short term it will be bad as FDIC lacks the staffing to deal with all of the bank at once. In the savings and loan crisis, the bank were smaller.

"FOLLOW THE MONEY TRAIL"-Geithner, Paulson, Reed,Bush,Obama, and many many of our congressmen/women, have had $100,000 + or more, "donated' to their campaigns by these MegaBanks and "Investment Firms". AIG has "passed thru" over 12 Billion Dollars in taxpayers money, to Goldman Sachs alone,and now several Foreign Banks to Boot !!...and, "funny thing is" both Geithner and Paulson are former "Gold Man Guys" with their hands, holding all the financial levers of our Government !! They are opening one spigot after the next, and draining our treasury, into the pockets of "a few". - Follow The Money Trail!!- It "Starts" by dollars, coming out of the millions of taxpayers pockets, to our congress, and then to these "Keepers of Our Treasury". Never in the history of the USA has so much, from so many, been given to so few, by way of our Government..A Trillion Dollars, "taken off the books of a few MegaBanks, and put on the "balance sheets" of millions of USA Taxpayers!! VOTE THE BUMS OUT !!

Sick and tired of hearing this "Too big to fail" crap. I....feel that I am too big to fail, loose my job, loose my house etc. These orgaizations screwed up, that is a fact. I...and millions of other Americans played by the book, brought home our pay checks that got us through the week and yet we are the ones who will be loosing the most. The big crooks will slink away into their holes in the ground and live very well for the rest of their lives. The majority of us are here with our asses blowing in the wind, trying to hang on to the basic necessities of life. Let them fail, and lets see who is left after the dust settles.

I am amazed that Galbraith and Krugman are against it since Krugman is an Obama advisor. There must have been many other economists for the plan. If itill free up the credit markets than I am all for it. Not doing anything is not an option!

That is exactly the issue that some institutions are too big and complex. Which is why it is best to help them recover than govt trying to do it which would have no clue as to what to do in these cases. There is no doubt that whenever government has tried to fix any industry, they have failed miserably(all over the world). So whatever are the losses, fact is govt can't change it and will end up doing a worse job than the private enterprise(well regulated) will. Let congress focus on their massive failures of regulation etc..

"FOLLOW THE MONEY TRAIL"- IT GOES FROM OUT OF THE TAXPAYERS POCKETS, TO OUR CONGRESS, AND THEN TO THEIR MEGABANKS AND WALL STREET CRONIES.- VOTE THE BUMS OUT !!

It all goes back back to the seven deadliest sins. I'm not religious but Greed can be called the deadliest .... in my mind. If we didn't have greed we wouldn't have people dieing in the streets in third world countries, Homeless people not getting medical attention, and lack of proper health care. Washington and even Barack Obama (I'm a big supporter) is bailing out and giving money to Wall Street and Investors (the ones who caused this mess) and now we need to exspect the worst!!!!!!!!!!!!! Depression.

♫ Clawback is the time, is the place, is the moment.... Clawback is the way we are feelng.... Clawback is the word! ♫

How politically objective are Prof Gailbraith's comments? Fess up, Prof. Republican or Democrat?

WE HAVE BEEN BUSH WACKED!!!!!!!!!!! (WHERE IS HE)

People who compare with S&L crisis need to know that almost all the banks to close were very small banks. There was only one big one and that took recievers 7 years and huge losses to close it down. Unless you know in details all that happened then, forebearance etc which was followed then, making comparisons is dangerous...

Geithner and Obama are way over their heads. Paulson and Bush only appropiated only half of the original TARP. It has been a "whole give away" of our nation's wealth since Obama and "Give away Geithner" have been doing business.

It's hard to argue with this quote in the article, which really stands out... "Galbraith notes new leaders will have no incentive to cover up the fraudulent or predatory lending practices of their predecessors."