spending this money? the fourth one, how does a company that generates so much money from trading help the economy grow in the slogan that they use is that they do help the economy grow, but what the story points out and i learned a bit from this, they re making a lot of money. they re making billions of dollars and what they re doing is not the small businesses and individual consumers. if the decisions that we make are good for the economy, they should have to break that down today and that is what the folks at cnnmoney.com ask. i love, love, love that. i m hoping that enough lawmakers read that list before the hearing started today or are checking it on their blackberries if they get them in there. back in the day, that s why we gave our money to these investment houses so that they would find the innovation, the innovative company that would spur on the next big growth cycle. yeah. and hiring, right? and employment and everybody would all right. banks used to pay you
you say you issued a press release calling this the great chicago bank heist. you say the way he s structuring the financial reform would make the chicago her kn tile exchange much the chicago mercantile exchange more relevant than wall street that will help president obama s friends in chicago. that s right. you will ship the $28 billion worth of profits to economy. once you are forced to do business only in chicago with derivatives. then the investment houses start moving closer to where the exchange is. the exchange in this case will be in chicago. we ll lose thousands upon thousands of jobs. we ll lose thousands millions of tax dollars, who is going to pay for the police and firemen. wall street is main street.
republicans, are indicating they are warming to the president s proposal, so, in fact, it could pass the senate. it has already passed the house. jane: let s bring in senior economic writer for the wall street journal steve moore. steve, i couldn t help but noticing in the president s opening lines there, he said, it s good to be back near wall street, and there was audible laughter in the crowd. that was an interesting moment. one of the things that really struck me just being in washington is this whole notion of the president coming from washington to lecture wall street about being financially responsible when we have a, you know, $1 and a half trillion deficit in washington d.c. but, you know, i think the president really hit on some important points. there is kind of broad agreement right now that we do need regulation on some of these excessive behaviors of these insurance companies and these investment houses and banks. one of them that there s general agreement on is, you
government from running insurance companies, investment houses, auto companies, democrats frankly believe that the republicans traditional ties to big business, and, big banks, put them on the wrong side of the debate. jon. in the meantime you have got goldman sachs, always sort of the gold standard among investment banks, facing fraud charges, is that going to have an impact on this? reporter: well, democrats, frankly, believe it will. the securities and exchange commission says goldman essentiallist up a fund for people who invest in, a bond backed by subprime mortgages from arizona, nevada, california, florida, place that s were experiencing huge housing booms, and, then, goldman bet the bonds would go bust and when they did, both goldman sachs and the hedge fund manager who came up with the criteria for selecting the bonds, made billions of dollars. now, democrats believe that that shows the need both for more transparency and tighter regulation of investment firms and they bel
dow jones industrial average, there s actually a sharp corner where the graph goes up. that was the beginning of the.com bubble. why did that happen in 1995. why didn t it happen in 1985. why didn t it happen in 2005? why didn t it happen at all. the depression era generation is retiring it understood the dangers of financial risk they had grown-up in the great depression. the baby boomers that took over only knew the upside only knew about prosperity. they took over wall street and had the hunger for profit they realized something else that up until this point the investment houses had been partnerships. all of the banks that blew themselves up they were all publicly traded bear staerns, neiman brothers, they used to be partnerships and now they became publicly traded. when you were a partner in a