Wall Street’s 10 Worst Lies of the Year

[The Straight Story]

Wall Street’s 10 Worst Lies of the Year: Nomi Prins


Wall Street’s bad behavior hasn’t changed all that much from last year, writes Nomi Prins, senior fellow at the public policy center Demos
and a former managing director at Goldman Sachs. Despite what the Obama administration says about changing the ways of the financial sector, banking and investment leaders are still up to their old tricks of restructuring toxic assets into new ones, profiting from credit derivatives trading, and paying themselves record bonuses.

“Wall Street’s return to robustness and Main Street’s continued deterioration are the main takeaways for 2009 that stemmed from the 2008 choices to flush the financial system with capital and leave the real economy to fend for itself,” Prins says. “Lies that exacerbate this divide only perpetuate its growth.”

The top 10 lies Wall Street put forth in 2009, according to Prins, were:

1. The economy has improved.
2. If you give banks capital, they will lend it out.
3. Taxpayers are being repaid.
4. Homeowners are being helped.
5. Big banks will help small businesses.
6. The Fed values transparency.
7. History will not repeat itself.
8. The pay czar will fight against…pay.
9. The lobbyists made us do it.
10. Citigroup is the picture of health and too-big-to-fail is over.

http://www.allgov.com/ViewNews/Wall_Streets_10_Worst_Lies_of_the_Year__Nomi_Prins_91229