here's a reason

Here's a reason to vote for Obama (regardless of whether he can do it, at least he's got the right idea)

I remember sitting in finance classes my junior year and constantly asking questions that started with, "Well, couldn't you _____?" and the professor would respond, "Well,,, yes, someone could, but that's illegal."

"But who's going to catch you?"

"Most likely, the SEC."

"Most likely?"

"Ok, does anyone else have a question?"


So finally, one morning that semester in banking class, I decided that finance was not for me. (although I really knew all along, I was guided into that major in the first place)

Here's an interesting yet troubling op-ed from late last year: Ben Stein (yes, Ben Stein) is essentially saying that Goldman Sachs packaged and sold collateralized mortgage obligations (securities that represent claims to cash flows from pools of home mortgages) and at the same time, was shorting the entire industry (betting that the price of the stuff they just sold would go down.)

He also discusses an article written by a prominent Goldman economist who is actively spreading the doomsday propaganda we hear so much of these days, and insinuates that many others with Goldman's interests in mind are doing the same.

Fuck.

I wonder if it's even possible for the government to stop this. The SEC is underfunded (I learned this while trying to apply for a job with them in 2006. When I finally got an HR manager on the phone, she ended up spilling her guts to me. I simply asked "Can I send you my resume?" And she rambled on for 10 minutes about their lack of funding in all areas.) (Ironic that I couldn't get a job with the SEC when I actually believe in their mission.) And their people are underpaid compared to others in the industry. Most people who start out working for the SEC, end up leaving to spend the prime of their career helping companies fight the SEC.

Martha Stewart was put in prison for because of a stock tip that helped her avoid a $45,000 loss. Meanwhile, according to Stein's sources, Goldman Sachs sold roughly $100,000,000,000 worth of mortgage backed securities in the last three years, then shorted the entire industry and watched it crumble.

Is that even possible? (it's more than possible that I'm just missing something here)

The US capital markets have truly separated us from the rest of the world. But like everything else, bad things happen when people start abusing.

Maybe I should apply for a job at Goldman Sachs, they probably need people to count their money.