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The professor  here describes the upcoming “stress test” for financial institutions as something that resembles a dystopian, Orwellian future:

The bank stress tests currently underway are “a complete sham,” says William Black, a former senior bank regulator and S&L prosecutor, and currently an Associate Professor of Economics and Law at the University of Missouri – Kansas City. “It’s a Potemkin model. Built to fool people.” Like many others, Black believes the “worst case scenario” used in the stress test don’t go far enough.

What is a Potemkin model? –  That will be the next part of the fun, dynamic, engaging world of KargBlog.  Until then, it all is a bit absurd.  A stress test given to institutions that have been given a blanket “too big to fail” ticket attached to their towers.  I say if you can’t beat them, join them.  Maybe we are entering a dark period, but if the stress tests catalyze more optimism in this country, and people start borrowing and spending again, and people can fill that glut of homes in the land, and we can get more credit as long as China figures we will keep buying their stuff, thats just dandy.  Wait, no.  Let us instead beat them.   Any ideas? Please propose.



  1. I wish you would write about something like Britney or cats or pink things.

    • There will be a feline-centric post coming soon!!

  2. Do you want to get some coffee?

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