Off with their heads
Arvamus | 27 Jan 2010  | EWR OnlineEWR
Tough action is needed against bankers to get us out of our 'doom loop'.
Simon Johnson, European Voice


At last, the administration of US President Barack Obama seems to be contemplating a decisive move against the US's banking elite. Following the recent electoral setback in Massachusetts the proposals laid down by former Federal Reserve chairman, Paul Volcker, to reduce the market power of the banks, are being dusted off.

Until now it has been a very different story – essentially a victory for the big bankers since spring 2009, when some of the healthier ones were allowed to start paying back any funds they had drawn from the US treasury's Troubled Asset Relief Program. That, in turn, allowed them to escape even the very weak special conditions that had been laid down by the government relating to bonuses and remuneration.

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Arvamus