Friday, December 05, 2008

First Big Problem with President Elect Obama

link referred by TPM
Now, I've spoken a lot about how I entered the Shrub presidency with optimism and an open heart, and was quickly disabused. And, it's my intent to do that with 44, except for the disabusing part. I want to be perfectly clear that it is not my intent to find fault with President Obama until I decide he's another good-for-nothing wastrel driving the world towards doom. But, Joseph Stiglitz, Nobel-prize-winning former World Bank President -- should have a prominent place in his cabinet.
Stiglitz denounced Rubin's support for repeal of the Glass-Steagall Act, which separated commercial from investment banking for precisely the reasons we are now witnessing on Wall Street.... Stiglitz became the most prominent voice in Washington to say plainly that free-market absolutism, which began with the Reagan revolution and continued under Clinton (who upon being elected declared the era of "big government" was over), was ill-founded theoretically and disastrous practically....

As far back as 1990, Stiglitz argued in a paper (it can be found on The Economist's Voice Web site at against securitizing mortgages and selling them
All I could come up with when asked who should be on Obama's economic team was Elizabeth Warren. But, Joseph Stiglitz should definitely be up there.

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