LIBOR scandal set to rock U.S. as experts warn it could be 'the biggest consumer fraud in history'

Quote from barnz008 : I'll tell ya when the uproar will happen. When y'alls go withdraw "your money" from an ATM and the screen is black...or when you go to pull money out of "your bank" and have to wait in line for 3 hours only to get half of it. Guess people might then realize what those notes are, what they're worth and who owns them.

I don't think that will happen. But people might take notice when a Twinkie starts costing $10.

Quote from Deusxmachina : I don't think that will happen. But people might take notice when a Twinkie starts costing $10.

Has this really happened? Are twinkles in real/constant dollar any more expensive today than say 30 years ago? How about a pound of chicken breast? How about a pound of cereal or a gallon of milk? And which is rising faster, a gallon of milk or salary of a nurse? How about a good qualit pan? Sewing machines? A refrigerator?

Come one......I think you are crying wolf.

Quote from TRNT : Has this really happened? Are twinkles in real/constant dollar any more expensive today than say 30 years ago? How about a pound of chicken breast? How about a pound of cereal or a gallon of milk? And which is rising faster, a gallon of milk or salary of a nurse? How about a good qualit pan? Sewing machines? A refrigerator? Come one......I think you are crying wolf.

Sounds like some of that "unintended honesty" from you making my case for me. If something like hyperinflation comes to town, people will be crying in their Twinkies.

Quote from Deusxmachina : Sounds like some of that "unintended honesty" from you making my case for me. If something like hyperinflation comes to town, people will be crying in their Twinkies.

So no answer to the points that I made.

Quote from 124nic8 : Appearances created by an email from Diamond who may have just been covering his own ass.

Possibly. That would be amazing forsight of course to cover one's own ass back in 2008 by having someone at the Bank of England email you and hint that you shouldn't be leading the pack in LIBOR rates accorting to "SENIOR" Whitehall officials.

Quote from 124nic8 : I wonder if libertarians ever get tired of mistating things which then blow up in their faces.

What did I mistate? That libertarianism ISN'T the act of bailing out banks?

Quote from 124nic8 : The Fed does this publicly, not in secret, everyone talks about it; contrary to your premise that "no one says squat."

I'm sorry, but I'm pretty sure the number of people complaining about this manipulation is few and far between, especially in progressive circles. Meanwhile, Barclays is the last bank to do it (it would seem), and everyone throw's a hissy?

Please, this is small potatoes to what goes on every single day in this country.

Quote from TRNT : Has this really happened? Are twinkles in real/constant dollar any more expensive today than say 30 years ago? How about a pound of chicken breast? How about a pound of cereal or a gallon of milk? And which is rising faster, a gallon of milk or salary of a nurse? How about a good qualit pan? Sewing machines? A refrigerator? Come one......I think you are crying wolf.

http://data.bls.gov/cgi-bin/surveymost

Since January 2002 to most recent data in Average US Cities:

Gas: $1.139 to 3.792
White Bread: 1.001 to 1.412
Chicken (whole): 1.091 to 1.347
Eggs: .973 to 1.691
Gallon of Whole Milk: 2.812 to 3.427
Electricity per KWH: .089 to .129

This is just 10 years. I think Gas is by far the most sensitive to swings due to politics, rising/lowering demand, etc., but what's really troubling is that stuff like White Bread and Electricity, things that can be improved via better technology, are still rising in prices.

Quote from 124nic8 : So much for the libertarian argument that free markets successfully regulate themselves.

Another unsubstantiated claim to take a swipe at libertarians!

Quote from yjeep93 : What part of our financial system is free market? That's like saying my godmother is a fairy simply because someone said so...

There's a fundamental misunderstanding of "free market" economics in this country. Republicans are partly to blame since they keep harping the "free market" term for a market that isn't even close to free.

Quote from brbubba : Another unsubstantiated claim to take a swipe at libertarians! There's a fundamental misunderstanding of "free market" economics in this country. Republicans are partly to blame since they keep harping the "free market" term for a market that isn't even close to free.

What regulations govern the derivatives markets after CFTMA2000 and before Dodd-Frank?

Quote from 124nic8 : What regulations govern the derivatives markets after CFTMA2000 and before Dodd-Frank?

The very existence of the FED [wikipedia.org].

When you don't bear the risks of your investment because it's understood any trouble will be resolved by the central bank, you're more inclined toward risky behavior.

Quote from Danman114 : http://data.bls.gov/cgi-bin/surveymost Since January 2002 to most recent data in Average US Cities: Gas: $1.139 to 3.792 White Bread: 1.001 to 1.412 Chicken (whole): 1.091 to 1.347 Eggs: .973 to 1.691 Gallon of Whole Milk: 2.812 to 3.427 Electricity per KWH: .089 to .129 This is just 10 years. I think Gas is by far the most sensitive to swings due to politics, rising/lowering demand, etc., but what's really troubling is that stuff like White Bread and Electricity, things that can be improved via better technology, are still rising in prices.

Also the products are shrinking in size. But the price is either the same or rising. Those who can't see what's on the horizon are either clueless or naive....

Quote from 124nic8 : What regulations govern the derivatives markets after CFTMA2000 and before Dodd-Frank?

What does that have to do with what I just said??? This is about you making specious arguments connecting regulations or lack of regulations to libertarians.

Quote from brbubba : What does that have to do with what I just said??? This is about you making specious arguments connecting regulations or lack of regulations to libertarians.

You wrote:

Quote from brbubba : There's a fundamental misunderstanding of "free market" economics in this country. Republicans are partly to blame since they keep harping the "free market" term for a market that isn't even close to free.

stating that the markets aren't free.

What regulations make the derivative markets not free after CFTMA2000 and before Dodd-Frank?

And Danman, the Fed does not regulate derivatives.

Quote from Danman114 : http://data.bls.gov/cgi-bin/surveymost Since January 2002 to most recent data in Average US Cities: Gas: $1.139 to 3.792 White Bread: 1.001 to 1.412 Chicken (whole): 1.091 to 1.347 Eggs: .973 to 1.691 Gallon of Whole Milk: 2.812 to 3.427 Electricity per KWH: .089 to .129 This is just 10 years. I think Gas is by far the most sensitive to swings due to politics, rising/lowering demand, etc., but what's really troubling is that stuff like White Bread and Electricity, things that can be improved via better technology, are still rising in prices.

Inflation was 27% and most of these are 30%-40%.

Quote from 124nic8 : You wrote: stating that the markets aren't free. What regulations make the derivative markets not free after CFTMA2000 and before Dodd-Frank? And Danman, the Fed does not regulate derivatives.

Again, I make a broad general statement and you say, well what about some X within a sea of ABCs. Macrocosmic view versus microcosmic view. Yes, you can cherry pick scenarios all you want to say whether or not markets are free or not free.

I'm not arguing against the freedom of derivative markets prior to Dodd-Frank. However, in the case of Dodd-Frank it's clear that regulation wasn't imposed to create market freedom, rather to prevent banks from taking on high risk credit default swaps and subsequently failing when their investments went bad. Although I'm sure there's some domino effect that could be turned into a market freedom argument in there somewhere.