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The Sellout: How government encouraged Wall Street’s risk-taking

By | November 19, 2009, 3:00 AM PST

In this MoneyWatch exclusive, editor-at-large Jill Schlesinger, spends some time with award-winning financial journalist and reporter Charles Gasparino. Gasparino, in his new book, The Sellout, shows how 30 years of misteps by Wall Street and government agencies lead to the financial crisis. In fact…Gasparino believes that the government actually enticed Wall Street’s risk-taking. Gasparino goes on to argue, that given repeated missteps, the SEC should shut be down and the policing powers should be given to another government agency such as the FBI.

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Vince Thompson

About Vince Thompson

Vince Thompson was a contributing editor for SmartPlanet from 2009 to 2010.

Vince Thompson

Vince Thompson

Contributing Editor, People

Vince Thompson is a digital revenue consultant, author, speaker and host of the popular BNET show Dog and Pony. His firm Middleshift LLC helps Internet companies build revenue by creating advertising solutions and scaling sales efforts. He is based in Los Angeles.

Follow him on Twitter.

Vince Thompson

Vince Thompson

Vince Thompson is the managing partner of Middleshift LLC, a digital revenue consultancy specializing in helping media companies sell online advertising.

Within the scope of his consultancy Vince works with a number or startups as well as major media companies and in many cases holds stock in those companies as well.

Vince is also the founder of Media2Watch LLC, parent company of Girl2Watch.com, a consumer content company that profiles up and coming actors and the shows they are going to be in and them connects them with audiences.

If at the time he writes an article or post he has a business relationship or investment related to the company or person featured, Vince will disclose his involvement. He writes for SmartPlanet and is not an employee of CBS.

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RE: The Sellout: How government encouraged Wall Street's risk-taking
Re-install Glass-Steagall.
Posted by montrose
19th Nov 2009
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Problems Resulting From the CFTA of 2000
Commodity Futures Modernization Act of 2000
Another contributor as soon as it was signed into law. Continues to be misused only to present problems and unless addressed will cause future fiascoes.
The leverage allowed, modeling, and obfuscation that distorts value is problematic, absurdly disastrous, and should be unlawful. Should be regulated to require backing by tangible assets and transparency.
Posted by donnydo77@...
19th Nov 2009
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SEC Appointments & Faces
Needs to be considered for industry insiders and enablers. Inspections, investigations, pursuit of justice should be paramount but appointments and understaffing are squelching these pursuits.
Now that the risk is socialized, self-regulation has proven impossible and unthinkable. More perps need to be walked.

Btw, the description provided to several of the faces was too kind especially Jimmy Cayne. That is one careless (clueless?) and repulsive figure.
Posted by donnydo77@...
19th Nov 2009
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RE: The Sellout: How government encouraged Wall Street's risk-taking
And who were the regulators? And why did they fail? This is only half a story.
Posted by psquare11
19th Nov 2009
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