Bernanke Is Rewriting History And Making The Same Mistakes Again

Everyone makes mistakes. The best thing one can do is face up to the facts and acknowledge the error; fix the problem to the extent possible and do what is necessary to avoid repeating the mistake. Ben Bernanke's inability to admit his (and his predecessor's) mistakes condemns the Fed to repeat the sins of the past.

In this week's lecture tour at George Washington U, Bernanke spoke to the students about the causes of the economic collapse of 2008. In his presentation, he identified most of the bad actors and the mistakes that those institutions made. He pointed his finger at:

-Fannie Mae and Freddie Mac
-The big banks and Wall Street wire houses
-Mortgage brokers
-AIG

He blamed:

-Sub Prime mortgages
-Excessive leverage 
-Banks’ failure to adequately monitor and manage risks
-Excessive reliance on short‐term funding
-Increased use of exotic financial instruments that concentrated risk

Bernanke never acknowledged that the Fed contributed to the mess of 2008. If Ben wasn't flat out  lying, his head is buried very deeply in the sand.

Read more: http://brucekrasting.blogspot.com/2012/03/bernanke-fed-never-makes-mistakes.html#ixzz1qmeqXMTU