Giant banks are the most powerful institutions in in the world – in many ways as powerful economically and politically as the biggest governments. Unfortunately, the banks frequently use their power in ways that damage the economy and hurt folks living around the world.
Two prominent research projects carried out in recent years paint a picture of a ruthless banking and financial sector powerful enough to dictate the nature of key parts of the world’s economy and challenge the strongest politicians.
Research carried out by three Swiss economists reveals the links and structure the giant financial institutions dominate and use to their advantage.
The researchers looked at 30-million “economic actors” around the globe. Their remarkable research found that a group of 147 trans-national corporations (TNCs) controlled nearly 40 per cent of the economic value of all TNCs in the world. More shockingly, financial institutions make up 75 per cent of the organizations at the core of this powerful group: what the researchers call, a “super entity.”
9 Dec 2013
4 Dec 2013
The world banking system could come crashing down around our heads again – even worse than in 2008. Giant banks apparently learned very little from the earlier collapse. Many of them are carrying on the same overly risky and even illegal activities that led to the earlier crisis.
If Canada’s banking regulations are not substantially toughened by the time the next global financial crisis hits – yes, there will be another crisis – our Big Six banks may very well find themselves in serious trouble. Again.
Throughout the Great Recession, Finance Minister Jim Flaherty and the financial community managed to keep secret the fact that our largest banks were in financial difficulty. Had people known the reality, they might have wanted their money back.
11 Nov 2013
|McKenna - My sacrificial lamb.|
However, McKenna presented the issue as though we had just learned about the income gap. The frustrating truth is that we have known for years that the changes the Conservatives and the Liberals before them were making to the tax system, plus other adjustments, was resulting in much greater income disparity and the hollowing out of the middle class.
In fact, even the conservative Conference Board of Canada recognized this as a problem 20 years ago!
The article’s weaknesses are glaring. This is particularly significant because McKenna’s article launched a two-week-long series under the topic, Canada’s Wealth Paradox series.
McKenna makes no effort to explain WHY the wage gap is still increasing. He throws around terms such as globalization as being part of the problem, but he does not explain WHY we have such serious incomes gaps.
Income disparity doesn’t just happen