because we ve not been able to do it in the way that some of us would like to do, that we can t trust that the living wills and all of that that we put in place will help to dissolve these institutions. but i think you ve got to give it a chance. i think we ve come a long way. the one thing that s interesting, it was just written about. they re actually starting to price in the resolution authority. wait. let me break down what i mean by that. the credit default market is insurance on companies or contracts going belly up and it s a lot of two sided bets. are you going to go bankrupt or not? basically dedrick and i make a bed bet, is alexis going to go bankrupt or not. people look to see what the overall health is. the likelihood of you going bankrupt? exactly. they re starting to price in this idea that the resolution authority will make senior bond holders take a hit.
that s exactly what has produced the infamous 47% who don t pay income taxes. and one of the other things that i have seen develop over time in the think tank world or the thinking of the right which is articulated in romney s 47% comment is the idea that not only, you know, everyone s always wanted to cut taxes, republican party, governor norquist pledge. you need to raise taxes at the bottom and middle class. the tax center says that s what the romney plan does. romney says absolutely not. in the republican party, their plans would do that. there is a lot of ichblt lek actual thinking in the party. that goes to the candidates statements for actually raising taxes at the bottom. not just cutting. the basic economics is very simple. if you re committed to reducing the deficit and if you are going to say that we re going to reduce the deficit at least
i m happy. happy. happy. happy. happy. (together) happy. i love logistics. chip worked with senator ted kauffman, the delaware senator who wanted to break up the big banks tweets me to make the point was that the obama administration opposed brown kauffman. so this wasn t entirely at all a partisan thing. it came up against a lot of resistance in a lot of parties to break up the big banks. congresswoman waters, talk me down from my concern about the fact that if we get to a crisis, that basically size is the issue and everything is subsidiary to that. if we still have these big banks, even if we designate them, when the rubber hits the road and the crisis is at the door and everyone s hair is on
skeptical egalitarian. i m one of the people i mentioned in the poles in the last hour who doesn t have a big ideological commitment. i do think the equity argument makes sense to me. i think the rich are paying too little in taxes. i d like to see that go up. you could choose an issue if you were mitt romney, you can choose one, say carried interest which isn t a lot of money, but you can say, you know what, there are some real inequalities in our tax code. i m going to go after carried interest, or tax hachbs, or preserve the estate tax. you could choose some kind of egalitarian issue but there s nothing he s chosen. you re saying two different things that are contradicting each other. he wants to limit the deductions. he s not going to do that because congress will never pass it. you re saying he s not advocating anything that increases taxes or revenues on the rich. that s precisely what limiting deductions do. he hasn t look, if the thing that was on the table was explicitly
9/11. was that funny? should we have gone to iraq. there are a lot of people that have eroded public trust. i have more sympathy to the distrust than some others in that institutions have performed very poorly and that s produced some of that trust. joy reid of the grie owe.com and karen hunter, thanks for being here this morning. thank you. mitt romney finds his inner mitt romney finds his inner george w. bush when we get back.