Saturday, April 3, 2010

FRONTLINE: the warning

FRONTLINE: the warning | PBS
Just watched another great FRONTLINE documentary. Brooksley Born, former chair of the CFTC, play's the staring role is this one as the arch nemesis to the boy's club on Wall Street and at the Fed in Washington. Her attempt to regulate the derivatives markets in the late 90's was squashed by Alan Greenspan the enormous financial lobby in Washington.

Much of what Ms. Born was speaking out against was what brought down the infamous LTCM and was the underlying cause of much of the collapse of the markets in 2008. BusinessWeek has a good article that gives additional background on this story that I'd recommend reading.