Well here’s a shock. Lloyd “my company should have died in 2008 but was bailed out by the taxpayers” Blankfein doesn’t think there’s a place for free markets. I wonder why?
Wall Street likes regulated markets because it is through this regulation that the big banks can get the government to create barriers to entry, designate banks as “too big to fail,” etc. Why do you think Goldman has so many people in government? Is it because they believe in honest (or at least relatively honest) free markets? I don’t think so.
What Blankfein is saying here is that the system now is a crony capitalist system and we should get used to it. Free markets? Price discovery? That stuff’s for chumps. Crony capitalism is where it’s at. For him and a few of his buddies anyway.
By the way this article is terrible. A couple of quotes to consider;
China’s economy may be slowing down from its breakneck pace of recent decades, but it’s still running far ahead of free markets like the U.S.
Free markets like the US? This is a reporter for CNNMoney writing this. We haven’t had anything close to “free markets” in the US for decades.
Blankfein, arguably the most powerful man on staunchly free market Wall Street, said that “at the end of the day, everything is going to be a hybrid.”
“Staunchly free market Wall Street?” Perhaps in 1910. Now? I don’t think so. Wall Street loves centralized financial manipulation.
Lloyd certainly does.