Friday, July 17, 2009

One More TIme, With Feeling

Paul Krugman on what Goldman Sachs' record profits means:

First, it tells us that Goldman is very good at what it does. Unfortunately, what it does is bad for America.

Second, it shows that Wall Street’s bad habits — above all, the system of compensation that helped cause the financial crisis — have not gone away.

Third, it shows that by rescuing the financial system without reforming it, Washington has done nothing to protect us from a new crisis, and, in fact, has made another crisis more likely.

That's what so damn frustrating about this whole thing....just a little thought will tell you that we have made no net progress and are just setting ourselves up for another and probably worse fall.

And another thing...if Goldman Sachs is doing so damn well how come the money I have invested in Goldman Sachs Growth Strategy is still worth 32% less than what I paid for it?

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