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It is -- two year anniversary of Lehman and we got to keep talking about it because.
One will argue Lehman should never went down another -- argue it should of -- Blackman is here with us to talk about all that right now.
We have we have a big anniversary -- and you know -- -- back on this and says.
Why did we let why did we want the government force -- -- to file for bankruptcy when.
We saved Bear Stearns.
We sort of save Fannie and Freddie would put them in receivership.
But then there was -- that was so I mean you know the governor was schizophrenic at the time right making all these crazy decisions.
Should Lehman have gone down in the first place.
Her future asking me the answer is I've gone down.
So what is so what happens didn't and we learned anything from this because we did the IG which.
One would argue makes absolutely no sense to -- so.
I mean are we getting any kind of consistency out of -- -- -- now.
Now and -- definitely the problem where we're not getting any clarity we're not getting any consistency we.
The business world have no clue as to whether or not you are too big to fail or -- not too big to fail.
Are all whether or not the risk reward golf is gonna -- or blogs talk talk frankly we are.
And every bit -- much -- term right now as we were back here on the -- October of 2000 and they.
But how does affect you know -- around Tulsa Oklahoma.
I know how it affected us here and -- on Wall Street actually I -- look out the window practically -- -- Lehman Brothers office and remember watching those four people carry their boxes out.
As -- indeed -- office in the -- went down.
But how did -- affect the rest of the world.
Well and that's become just surprised final -- this is currently as I possibly can but most.
People outside of New York didn't notice safe and I can I've spent my entire life building businesses and any kind of business closed down and employees lose your job.
That's a travesty of high order but honestly outside of new York and -- -- -- of Manhattan.
There really wasn't a significant impact of volatile chemicals are found there was more concerned about the the caterpillar factory imperial -- noise shutting down.
And that makes more sense to me actually and that's a product that many more people can understand that's for sure so we -- Lehman down.
Again whether and I should have been is just going into the history books did we learn anything from this I mean are we doing things differently because of what happened.
Well hi I don't think we have I think Wall Street in the banking industry -- side.
Has the shortest collective memory of any institution has ever existed I am just not sure they have learned I would hole.
That we all have learned a lot from the audience that for risk and reward to -- bounds.
All have to be imply I want the government comes in and arbitrarily capriciously decide who wins and who loses that doesn't give any of -- -- a certain -- Does -- think of the things we learned.
-- the things we haven't learned and Sunni that's one of the things we have not figured out yet how do you rein in risk play because.
Yeah you know there's people out there trying to figure out what the next -- game is and that's what these guys dinner that's what makes them Smart and that's what makes -- wealthy.
And I'm -- and I'm I'm constantly in favor reward I'm in favor of Smart people making Smart decisions American want from lots of money I'm perfectly good without.
As long as almost same Smart people -- -- down.
That there should be your risk that runs proportionate to the -- that -- about to together and the banking industry in this case from the women and -- There was only reward there was not rest until all of sudden one day they just pulled the carpet out and had.
All we're gonna watch you golf but by the way it will save Merrill will save bear wolf find somebody to borrow long -- find somebody to -- indymac.
Will do all these other things that you -- Lehman Brothers.
Now we're just aren't going to be there for it.
Yeah I mean that.
When you think about it and I say even AIG got to AG analysts did that we save them right when -- still saving them a day after day after day -- -- keep saving them.
My kids are gonna end up paying for them as well.
We haven't seen jail time we haven't seen a perp -- we haven't seen anything from this do you think -- -- going to ever.
Now I know I think they're good the Department of Justice already taken their wac they filed a couple of indictments.
They didn't get an -- conviction actually got to -- acquittals.
I think we've seen the last of any criminal prosecution.
For what is -- the greatest meltdown and financial history of the world.
Did Clinton did financial reform the new financial regulations put in a place.
Do you think they're going to prevent something like this from happening again.
I think we can be optimistic and hope for quite frankly if history is -- real often.
We don't -- we shouldn't have a lot of optimism.
Now if President Obama appoints Elizabeth Warren whether we like that are not whether we agree with her disagree with her.
She is gonna take action and a -- takes action may be may be.
And the clarity of what's going to come -- there'll be some guidance for the future.
You know we still don't know what to do with Fannie and Freddie.
We still really right -- we still don't know what to do with it reading agencies.
I'm not sure why those things warrant tackled -- the other big part of the reason and Lehman went down in the first place.
On that they would be reason that women went down I'm let's cut through the political Roderick.
I'll try to be nice to people pay yeah you're an abomination.
Fannie and Freddie were the problem Fannie and Freddie was what caused all of it -- effect.
Other people -- more how to roll on this scenario and they did I mean homeowners across America.
How to roll -- it taxpayers how to roll on the Wall Street how to roll -- and but -- poor planning and Friday it would not happen.
But yet we haven't fixed them this -- that's significant -- then you're gonna potentially see this again.
Yes and yes we're here.
If we were drilled the hole in the Washington -- we're doomed to repeat those same mistakes and right now we continue to prop up Fannie and Freddie we at the treasury literally for the united 200 billion dollar a year subsidy program.
That is what the market -- that is what the market's gonna call for we need to take -- the payroll.
And literally get this problem -- -- what we're gonna end up exactly where Japan and we don't lose a decade.
A fitting here toying with -- with an economic disaster.
Somebody needs to do something.
Other than throw more money.
Obsolete institution that no longer serve -- purpose.
We can't we keep doing it right I think it was Albert Einstein that said the definition of insanity is doing the same thing over and over and over again which would mean that my three kids are completely insane because -- so.
Methodical and what they do.
What we're -- symbol almost -- we're given Fannie and Freddie money we're probably gonna give me I mean that it wouldn't give somebody money winners are given the State's money that's for sure so.
And what we do it.
Well what we are we're right back to us about how we were on five years ago now we all know what happened two years ago but let's go back three years earlier.
And see what caused us all to.
To crash out in 2008.
And to what we have now we have Fannie and Freddie and within the FHA.
Literally giving 100% wounds again.
-- what part of that don't they remember -- that's causing the prices the last time -- repeating the very same mistakes.
-- that's comforting.
Diet and you know like to say -- Monday yeah.
-- -- anyone tells the Tulsa Oklahoma and you're right you probably could care less that Lehman went down caterpillar -- -- bigger.
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