Thursday, February 5, 2009
Former fed chair Paul Volcker, TARP bailout overseer Elizabeth Warren and Nobel economist Joseph Stiglitz all slammed the government's approach to the economic crisis today:
- Volcker accuses Obama’s National Economic Council Director - and consummate financial insider - Lawrence Summers for slowing down the effort to organize a panel of outside advisers on the crisis
- Warren has discovered that Paulson overpaid by $78 billion dollars for toxic assets purchased from financial institutions
- And Stiglitz writes:
"Perhaps the entire strategy is flawed? Perhaps what is needed is a fundamental rethinking. The Paulson-Bernanke-Geithner strategy was ... based on a failure to grasp some of the fundamental changes in our financial sector since the Great Depression, and even in the last two decades."