Matt Taibbi responds to President Obama’s criticism of Rolling Stone’s coverage of his accomplishments, or lack there of, in passing effective financial reform. Specifically Taibbi goes after Obama for not addressing the problem of Too Big To Fail banks in an adequate way. He concludes:
The sum total of all of this is that Obama didn’t really do anything to alleviate the dangers of Too-Big-To-Fail. If anything, we now live in a world that is more concentrated and dangerous than it was before 2008. TBTF companies like Chase and Wells Fargo and Bank of America are even bigger and less-able-to-fail-ier than they were when he took office. This is why Obama’s answer to our interview question is so disappointing. If I’m understanding the president correctly, he basically says he doesn’t think Glass-Steagall should be re-instated, and beyond that, he just thinks Wall Street needs to self-regulate better.
That’s a pretty depressing take, at a time when even Sandy Weill – the bellicose Wall Street braggart who willed the now-infamous Citigroup merger into being and was a driving force behind Glass-Steagall – thinks that Too-Big-To-Fail companies should be broken up. The only hope we really have to fix many of these problems is to do just that, and we will need the chief executive’s help there. But President Obama apparently still isn’t willing to take that step, which is really too bad.