How America's Banks Lost their Reputations
by Susanne Amann, Der Spiegel, Germany - The former Fed chief's message was clear: Despite all the turbulence currently rocking the markets, there's no reason to panic. But it remains to be seen whether people will actually follow Greenspan's advice. After all, the near bankruptcy of Bear Stearns, a company as American as peanut butter and jelly, has reinforced the devastating impression that some of the world's biggest banks no longer have any clue how to steer relatively unscathed out of a seemingly never-ending loan crisis.

Comments (1)
The spectacle of Alan Greenspan, one of the Ayn Randian faithful, preaching calm over the wreckage of innovative greed run wild, is about as sick as Cheney's recent pitch that the Iraq War is a "success." There is clear blame for the financial mess. The culprit is deregulation. It's time for government to bring back managed capitalism. The self-regulating financial foxes are just not up to the job.
Posted by Will Peters | March 19, 2008 7:35 AM