PLEDGE NOW
No More Too Big To Fail?

With JP Morgan’s Jamie Dimon on the hot seat, we look at the loud call to fix American banking by breaking up the biggest banks.

People arrive at JPMorgan Chase headquarters in New York Monday, May 14, 2012.(AP)

People arrive at JPMorgan Chase headquarters in New York Monday, May 14, 2012.(AP)

JP Morgan Chase chief Jamie Dimon in the hot seat today before Congress, apologizing for the high-risk trading fiasco that cost his bank more than $2 billion.  A lot of serious players don’t want an apology.

They want Dimon’s bank broken up.  And not just JP Morgan.  Citigroup.  Bank of America.  Wells Fargo.  And watch out Morgan Stanley.  Goldman Sachs.  They’ve been called too big to fail, too big to manage, too big to regulate, too complex to understand, too risky to exist.  And when they shake, you pay.

This hour, On Point:  the call to break up – make smaller – America’s biggest banks.

-Tom Ashbrook

Guests

Nela Richardson, senior economics analyst for Bloomberg Government.

James Kwak, professor at the University of Connecticut Law School. He with economist Simon Johnson – at “The Baseline Scenario.”

Peter Wallison, fellow in financial policy studies at the American Enterprise Institute.

C-Segment: Temple Grandin Commencement Address

You can find a transcript here.

From Tom’s Reading List

Wall Street Journal “Lawmakers are set to grill J.P. Morgan Chase & Co. chief Jamie Dimon on Wednesday over how the largest U.S. bank was able to retain losses of more than $2 billion from credit derivatives trades and whether the problems it highlights are enough to push policy-makers to break up large financial institutions.”

Reuters “A need to break up big banks is one of the several lessons policy makers should have learned from the financial crisis that have either been ignored or forgotten, according to Phil Angelides, who chaired the congressionally appointed Financial Crisis Inquiry Commission.”

Bloomberg “The Dodd-Frank Wall Street reform act makes a promise: no more bailouts. It’s hard to find fault with the politics of this promise, and its economics seem promising as well. In theory, a financial firm without a state backstop will be more responsible. Unfortunately, this may not be what actually happens.”

 

Please follow our community rules when engaging in comment discussion on this site.
ONPOINT
TODAY
Jul 28, 2015
U.S. President Barack Obama, center left , and Ethiopian prime minister Hailemariam Desalegn review an honor guard at the National Palace in Addis Ababa , Ethiopia, Monday, July 27, 2015. (AP)

The United States and Africa. What we see in and beyond President Obama’s big visit.

Jul 28, 2015
A portion of the cover of Julia Pierpont's debut novel, "Among the Ten Thousand Things." (Courtesy Random House)

Writer Julia Pierpont is getting rave reviews for her debut novel — “Among the Ten Thousand Things” — about a marriage in crisis. She joins us.

RECENT
SHOWS
Jul 27, 2015
The Snow BBQ best, in WBUR's kitchen. (Sarah Platt / WBUR)

From secret sauces and rubs to hickory and folklore, we will celebrate and sample the best barbecue in the land. Bring napkins!

 
Jul 27, 2015
Republican presidential candidate Wisconsin Gov. Scott Walker speaks at the American Legislative Exchange Council 42nd annual meeting Thursday, July 23, 2015, in San Diego. (Left) Republican presidential candidate Carly Fiorina speaks to local residents during a meet and greet at Cecil's Cafe, Thursday, July 23, 2015, in Marshalltown, Iowa. (Right) (AP)

Sixteen Republicans are running for president. Two of them — Wisconsin Governor Scott Walker and former HP CEO Carly Fiorina — join us.

On Point Blog
On Point Blog
Q & A: Scott Walker On The Iran Deal, Huckabee Comments
Monday, Jul 27, 2015

Wisconsin Gov. Scott Walker explains his opposition to the Iran Deal, his record of statewide electoral victory and why he feels he’s set to win the 2016 Republican Presidential nomination.

More »
Comment
 
Q & A: Carly Fiorina On Trump, Sexism, And Being Cut From The GOP Debate
Monday, Jul 27, 2015

Republican Presidential Candidate Carly Fiorina, the former CEO of computer giant Hewlett-Packard, joined guest host John Harwood to talk Donald Trump, the upcoming Republican candidate debate and sexism in modern life.

More »
Comment
 
Our Week In The News: July 24, 2015
Friday, Jul 24, 2015

You all really, really love to listen to our week in the news segments (that’s great) and we wonder why. Plus: Alex Trebek can’t really sing, in case you were wondering.

More »
2 Comments