Courtesy of Pam Martens.
Thomas Hoenig, Vice Chair of the FDIC, Testifying Before the House Financial Services Committee On June 26, 2013
This past Wednesday, Thomas Hoenig, the Vice Chairman of the FDIC and former President of the Federal Reserve Bank of Kansas City, gave a presentation to the Boston Economic Club warning that Dodd-Frank has not put an end to taxpayer bailouts. Hoenig explained why in plain-spoken language the average person can absorb.
Hoenig has consistently shown the courage of his convictions in calling for breaking up the biggest Wall Street banks through the restoration of the Glass-Steagall Act (strongly advocated by Wall Street On Parade as well) and warning that the complexity, leverage and interconnectedness of Wall Street banks that brought on the 2008 financial collapse has not ended.
In his Wednesday talk, Hoenig makes the following key points:
Mega banks are now “larger and more complex than they were pre-crisis”;
“The eight largest banking firms have assets that are the equivalent to 65 percent of GDP”;
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