Plenty share the blame for the United States’ economic disasters | Letter

Since the 1980s, in answer to Mr. Sarver’s letter (Courier-Herald, Dec. 18), the U.S. has made very big mistakes. We deregulated the financial industries and, after deregulation, our country has had one financial crisis after another, each one worse than the one preceding it.

Since the 1980s, in answer to Mr. Sarver’s letter (Courier-Herald, Dec. 18), the U.S. has made very big mistakes. We deregulated the financial industries and, after deregulation, our country has had one financial crisis after another, each one worse than the one preceding it.

This insanity has been going 30 years now; don’t expect it to get better.

Problems started in the 1980s when financial institutions went public, taking in huge amounts of money. In 1982 President Reagan deregulated savings and loans, allowing risky investments to be made. By the end of the ‘80s, hundreds of S&Ls had failed. This cost taxpayers $124 billion, not to mention people who lost their life savings.

Thousands of S&L executives went to jail. In 1985 while being investigated about his S&L, Charles Keating hired an economist by the name of Alan Greenspan to say the risky investments were safe. Greenspan said they were great. He was paid $40,000 by Keating. Keating later was hauled off to jail. Alan Greenspan, of course, was made chairman of the Federal Reserve by President Reagan, but also by Clinton and George W. Bush.

In the ‘90s, deregulation continued and out popped something called derivatives, letting  you bet on anything (oil, bankruptcies, the weather, etc.). By the end of the ‘90s, derivatives were a $50 trillion unregulated market. When people tried to regulate them, Clinton said no. Under Clinton, like Reagan, more deregulation led to Greenspan, Larry Summers, a Harvard economic professor, and Robert Rubin, a former CEO of Goldman Sacks, all Republicans.

In 1998, Citicorp merged with Travelers, forming Citigroup, which violated the Glass-Steagal Act that kept banks from making risky investments. Greenspan did nothing to stop the merger. A year later, 1999, backed by Clinton, Greenspan, Summers and Rubin, the Gramm-Leach-Bliley Act repealed Glass-Steagal. By the end of the ‘90s, only a few really big financial firms were left. If one failed they would all go. They would have the U.S. taxpayer to bail them out, just like they planned.

The late ‘90s, next crisis. Investment banks fueled a huge bubble in internet stocks with led to a crash in 2001 with $5 trillion in investment loss. It seems stock brokers were selling junk. Cow poop in a field was worth as much as a lot of these stocks. Reagan, Bush Sr., Clinton, Bush W., Obama are all at fault.

Deregulation – bah, humbug. Merry Christmas.

Lee Stout

Buckley

More in Letters to the Editor

Anthem protests about equality, not disrespect

For all who write negative comments about the football players who took a knee and posted that “this is not the America we grew up in,” let me share a few of the personal events from my life growing up in Tacoma Washington as a white woman.

Former fan finished with disrespectful NFL players

I lived off the grid for 15 years and the one thing I missed the most was watching pro football.

Children of illegal immigrants should stay

You are not “making America great again.” You are just making it more intolerant to diversity.

More information needed on proposed recycling site

We want to bring awareness to your readers about a 34 acre wood recycling center that is in the permitting process with King County.

Congratulations, Jan Molinaro

In every election, one person must win and the other will lose. Now more than ever, it is important to show our children how to be gracious in victory and humble in defeat.

Enumclaw mayor deserves a thanks for a job well done

I have always been proud to say I live in Enumclaw.

Clarification on Expo Center funding vote

As a citizen that values our local paper and likes to stay informed about the upcoming elections, I have enjoyed reading the Courier Herald debate for the Enumclaw Mayoreal election.

Molinaro an excellent candidate for Mayor

Following my two interviews with candidate Malinaro, I feel that we are fortunate to have a candidate who is well prepared to provide the leadership we need for a growing community.

The definition of insanity

It is totally clear that the incumbent mayor lacks any ability to bring people together and get things done. She is a failure as mayor, making Black Diamond a laughing stock with her out of control behavior and outbursts at Council meetings.

Baxley and Young should have showed up at public forum

On Tuesday, October 17th, was the Black Diamond Maple Valley Chamber of Commerce Candidates Forum, where the Black Diamond candidates for Mayor and two City Council positions had the opportunity to talk with the citizens of Black Diamond, and to answer questions put to them by these citizens.

Enumclaw helped raise $3,500 for Special Olympics

The last couple of weekends the St. Barbara Knights of Columbus have been involved with our annual Tootsie Roll Program.

Baxley is an important choice for Black Diamond mayor

Judy Baxley has been part of our local civics for years, and thank goodness because citizen involvement is critical to monitoring big developers.