2008 Financial Crisis Quotes

As Jeffrey Reiman points out in the Rich Get Richer and the Poor Get Prison, the criminal justice system excuses and ignores crimes of the rich that produce profound social harms while intensely criminalizing the behaviors of the poor and nonwhite, including those behaviors that produce few social harms. When the crimes of the rich are dealt with, it's generally through administrative controls and civil enforcement rather than aggressive policing, criminal prosecution, and incarceration, which are reserved largely for the poor and nonwhite. No bankers have been jailed for the 2008 financial crisis despite widespread fraud and the looting of the American economy, which resulted in mass unemployment, homelessness, and economic dislocation. ~ Alex S. Vitale

The genuine object of debate raised by the [2008 financial] crisis ought to be how to overcome the short-termism to which we have been led by a consumerism intrinsically destructive of all genuine investment in the future, a short-termism which has systematically, and not accidentally, been translated into decomposition of investment into speculation. ~ Bernard Stiegler

The heart of the 2008 financial crisis was a coterie of reckless financial executives, working for too-big-to-fail financial companies, who were handsomely compensated for taking risks that almost ruined the economy when they failed. ~ Gary Weiss

The Death of Money is an engrossing account of the massive stresses accumulating in the global financial system, especially since the 2008 financial crisis. Jim Rickards is a natural teacher. Any serious student of financial crises and their root causes needs to read this book. ~ John H. Makin

The single most remarkable (and revealing) fact of the Obama presidency may very well be the lack of a single prosecution of Wall Street executives for the massive fraud that precipitated the 2008 financial crisis. ~ Glenn Greenwald

In response to the drop in wealth suffered as a consequence of the 2008 financial crisis, homeowners and firms did attempt to increase savings in financial assets by reducing expenditure on durables. ~ Dale T. Mortensen

The times are too difficult and the crisis too severe to indulge in schadenfreude. Looking at it in perspective, the fact that there would be a financial crisis was perfectly predictable: its general nature, if not its magnitude. Markets are always inefficient. ~ Noam Chomsky

Recently released government economic statistics covering 2010, the first year of real recovery from the financial collapse of 2008, found that fully 93 percent of additional income gains coming out of the recession went straight into the wallets and purses of the top 1 percent. ~ Eric Alterman

The revival of the U.S. financial system after the crash of 2008 is arguably the Obama administration's biggest domestic policy success. ~ David Ignatius

So how does the machine work that you have a financial crisis? How does deleveraging work - what is the nature of that machine? And what is human nature, and how do you raise a community of people to run a business? ~ Ray Dalio

Something really big happened in the world's wiring in the last decade, but it was obscured by the financial crisis and post-9/11. We went from a connected world to a hyperconnected world. I'm always struck that Facebook , Twitter, 4G, iPhones, iPads, ubiquitous wireless and Web-enabled cellphones, the cloud, Big Data, cellphone apps and Skype did not exist or were in their infancy a decade ago. ~ Thomas Friedman

Obama's primary constituency was financial institutions. They were the core of the funding for his campaign. They expect to be paid back. And they were. They were paid back by coming out richer and more powerful than they were before the crisis that they created. ~ Noam Chomsky

Godfulness is simply recognizing the primacy of a presence of love, spaciousness, grace, generativity, caring, and creativity in the world and in myself. How can a mere financial crisis compare to that? The Generative Mystery cannot go bankrupt. It is not subject to scarcity. We never run out of God. ~ David Spangler

Some 8,000 nonviolent Occupy protesters were arrested across the nation. Not one banker or investor went to jail for causing the 2008 financial meltdown. The disparity of justice mirrored the disparity in incomes and the disparity in power. ~ Chris Hedges

On the other hand, there are a number of cases where economic growth did not produce better governance, but where, to the contrary, it was good governance that was responsible for growth. Consider South Korea and Nigeria. In 1954, following the Korean War, South Korea's per capita GDP was lower than that of Nigeria, which was to win its independence from Britain in 1960. Over the following fifty years, Nigeria took in more than $300 billion in oil revenues, and yet its per capita income declined in the years between 1975 and 1995. In contrast, South Korea grew at rates ranging from 7 to 9 percent per year over this same period, to the point that it became the world's twelfth-largest economy by the time of the Asian financial crisis in 1997. The reason for this difference in performance is almost entirely attributable to the far superior government that presided over South Korea compared to Nigeria. ~ Francis Fukuyama

On Wall Street, financial crisis destroys jobs. Here in Washington, it creates them. The rest is just details. ~ Timothy Noah

A clear lesson of history is that a 'sine qua non' for sustained economic recovery following a financial crisis is a thoroughgoing repair of the financial system. ~ Janet Yellen

The Fed has gone about as if the problem is a shortage of liquidity. That is not the basic problem. The basic problem for the markets is that uncertainty that the balance sheets of financial firms are credible.
-Anna J. Schwartz interviewed in the Wall Street Journal, October 18-19, 2008. ~ John Brian Taylor

Obama seemed poised to realign American politics after his stunning 2008 victory. But the economy remains worse than even the administration's worst-case scenarios, and the long legislative battles over health care reform, financial services reform and the national debt and deficit have taken their toll. Obama no longer looks invincible. ~ Dee Dee Myers

The United States is like the Titanic, and I'm here with the lifeboat trying to get people to leave the ship ... I see a real financial crisis coming for the United States. ~ Peter Schiff

One intriguing subplot of the economic crisis is the failure of most economists to predict it. Here we have the most spectacular economic and financial crisis in decades - possibly since the Great Depression - and the one group that spends most of its waking hours analyzing the economy basically missed it. ~ Robert J. Samuelson

Senator Obama will be taking office at a critical juncture. There are many pressing challenges facing the international community, including the global financial crisis and global warming. We look forward to working closely with President-elect Obama and his team to address these challenges. ~ Helen Clark

The President and the Democrats on Congress have exploited the financial crisis to advance their socialist big government tax, spend and borrow agenda. ~ Bradley A. Blakeman

I take great pride in having been able to overcome the Asian financial crisis and seeking the opportunities available to bring about an unprecedented growth in the economy. ~ Zhu Rongji

We have seen the results of unrestrained greed, corruption, and manipulation on Wall Street, financial mismanagement in the halls of government, fraud and perversion at the highest levels of both church and state. Many people sense the possibility of an even greater unraveling in the world. We are constantly confronted by the realities of new problems in this age of crisis. ~ Billy Graham

It is important that we note the weaknesses in our financial system, and work toward implementing solutions before the next crisis comes. Gordon L. Eade ~ Kenneth Eade

I forgot the maid who works in my P.G. and struggles to make money, every day, who is in fear that one day her cruel husband will find her out eventually and beat her and her son to death.
I forgot that auto driver I met on my way to M.G. road metro station, and who wanted to be in the army but gave up study due to the financial crisis.
I forgot that security guard I met at IIT Delhi, and who was forced to leave the study and marry at the age of 15.
I forgot those little kids I generally encounter at Railway stations and trains selling packets of pens @ Rs.25 per packet.
I forgot that 75 years old ricksha wala I met in sector 23 market with only one eye and high power lens
I forgot that washroom cleaning staff at my office who always welcomes me with a broad smile.
I forgot the dead body of that martyred soldier I saw at the Kashmir airport, laden with garlands of marigold and people shouting," jawan amar rahe!"
I forgot the scream of that pig near my office when a thick rope was brutally tied in its nose and it was forcefully taken by some people on a bike.
I almost forgot everything! ~ Sangeeta Mann

Managing and navigating through a financial crisis is no fun at all. ~ Howard Schultz

I mean, we've always had gold bugs, but now we sort of realize that Treasure Bills might be in the same category. And we have derivatives like credit default swaps which are in this category, and we have derivatives like volatilities that are actually an asset class that we can invest in which are now - would out perform if we have another financial crisis. ~ Robert F. Engle

President Obama has basically avoided or not done any attempt to intervene in any positive way in the housing market. I think in the financial crisis that's been a shame. ~ Glenn Hubbard

This financial crisis in Europe would have left Greece in Ruins, but it's been that way for 2,000 years. ~ Jarod Kintz

Asean is obviously a very important association for us. Over the past 30 years Asean has made great strides in regional cooperation covering a number of areas, although recently it has been under strain because of the financial crisis and other challenges. ~ Hassanal Bolkiah

Beyond the speculative and often fraudulent froth that characterizes much of neoliberal financial manipulation, there lies a deeper process that entails the springing of 'the debt trap' as a primary means of accumulation by dispossession. Crisis creation, management, and manipulation on the world stage has evolved into the fine art of deliberative redistribution of wealth from poor countries to the rich. I documented the impact of Volcker's interest rate increase on Mexico earlier. While proclaiming its role as a noble leader organizing 'bail-outs' to keep global capital accumulation on track, the US paved the way to pillage the Mexican economy. This was what the US Treasury–Wall Street–IMF complex became expert at doing everywhere. Greenspan at the Federal Reserve deployed the same Volcker tactic several times in the 1990s. Debt crises in individual countries, uncommon during the 1960s, became very frequent during the 1980s and 1990s. Hardly any developing country remained untouched, and in some cases, as in Latin America, such crises became endemic. These debt crises were orchestrated, managed, and controlled both to rationalize the system and to redistribute assets. Since 1980, it has been calculated, 'over fifty Marshall Plans (over $4.6 trillion) have been sent by the peoples at the Periphery to their creditors in the Center'. 'What a peculiar world', sighs Stiglitz, 'in which the poor countries are in effect subsidizing the richest. ~ David Harvey

LOST is often lauded as one of the best fantasy dramas in television history, as well as one of the most cryptic and - occasionally – maddening. But confirmation of just how important it is came with an almost unbelievable communiqué from the White House last week. President Obama's office reassured Lost fans that the commander in chief wouldn't move his yearly state of the union address from late January to a date that would coincide with the premiere episode of the show's sixth and final season.
That's right. Obama might have had vital information to impart upon the American people about health care, the war in Afghanistan, the financial crisis – things that, you know, might affect real lives.
But the most important thing was that his address didn't clash with a series in which a polar bear appears on a tropical island.
After extensive lobbying by the ABC network, the White House surrendered. Obama's press secretary promised: "I don't foresee a scenario in which millions of people who hope to finally get some conclusion with Lost are pre-empted by the president. ~ Ben East

I think the ethos for Gov. Romney is to use a whole variety of policies, of which tax policy is one, to try to raise the rate of growth. We've had a recovery from the financial crisis that would be well below what one might normally expect for a recovery from such a deep recession. And to counteract that we need better tax policy. ~ Glenn Hubbard

The Tea Party was born out of the disgust many Americans felt early in the financial crisis upon learning that the federal government was even contemplating reducing the principal on some troubled mortgages. ~ Mark Zandi

The egotistical ambition to always want to earn more money harms both the company and the individual himself. That is the biggest weakness of many managers - the financial crisis has proven this. ~ Dalai Lama

Hadn't been able to avoid hearing about the Tea Party, a recrudescence of the far right sooner than I would've hoped. Depending on whom you ask, the Tea Party formed either as a spontaneous grassroots protest against the government's massive interventions in the economy after the financial collapse of 2008, an hysterical backlash against our first black president, or just a hasty rebranding of the Republican Party now that the name Republican had taken on the same stigma as the Pinto, DC-10, and other products that reliably self-destruct. Their platform was the usual Republican wish list - cut taxes, gut the government, repeal the last century and revoke the social contract - and happened to coincide with the financial interests of their billionaire backers. They were widely regarded, on the left,* as dingbats. But today I was going to resist the impulse to sneer and feel superior and instead try, for once, to listen. ~ Tim Kreider

Financial crisis is the moment of truth for real collectors and true artists. ~ Victor Pinchuk

Because of the way society sets them up, women never again experience the need to develop independence - until some crisis in later life explodes their complacency, showing them how sadly helpless and undeveloped they've allowed themselves to be. ~ Colette Dowling

In a crisis, stocks of financial companies are great investments, because the tide is bound to turn. Massive losses on bad loans and soured investments are irrelevant to value; improving trends and future prospects are what matter, regardless of whether profits will have to be used to cover loan losses and equity shortfalls for years to come. ~ Seth Klarman

President Obama inherited a broken country mired in two wars, a financial crisis, a mortgage mess and more than we all probably even know about and has in my opinion brought us back from the brink. But I still see my friends in no better shape and the gap widening. ~ Don Cheadle

There is no doubt that many expensive national projects may add to our prestige or serve science. But none of them must take precedence over human needs. As long as Congress does not revise its priorities, our crisis is not just material, it is a crisis of the spirit. Considering the city of New York's financial shortfall. ~ Nelson Rockefeller

Weakness will persist in part because of the vast amounts of debt governments took on during and after the financial crisis. ~ Anonymous

The motto of the old order in the City of London was, 'My word is my bond,' but the financial crisis revealed a culture quite alien to that heritage. The stewards of people's money were revealed to have been speculators with it. ~ Gordon Brown