Paul Craig Roberts: Former Treasury Secretary Timothy Geithner, a protege of Treasury
Secretaries Rubin and Summers, has received his reward for continuing
the Rubin-Summers-Paulson policy of supporting the “banks too big to
fail” at the expense of the economy and American people. For his service
to the handful of gigantic banks, whose existence attests to the fact
that the Anti-Trust Act is a dead-letter law, Geithner has been
appointed president and managing director of the private equity firm,
Warburg Pincus and is on his way to his fortune.
A Warburg in-law financed Woodrow Wilson’s presidential campaign.
Part of the reward was Wilson’s appointment of Paul Warburg to the first
Federal Reserve Board. The symbiotic relationship between presidents
and bankers has continued ever since. The same small clique continues to
wield financial power.
Geithner’s career is illustrative.
In the 1980s, Geithner worked for
Kissinger Associates. In the mid to late 1990s, Geithner served as a
deputy assistant Treasury secretary. Under Rubin and Summers he moved up
to undersecretary of the Treasury.
From the Treasury he went to the Council on Foreign Relations and
from there to the International Monetary Fund (IMF). From there he was
appointed president of the Federal Reserve Bank of New York, where he
worked to make banks more profitable by allowing higher ratios of debt
to capital, thus contributing to the financial crisis.
The Doc: The Taper Talk delivered the final blow to the big US banks, insolvent at the time. Now they are struggling with liquidity problems
as a result of massive derivative losses that sap and drain their
precious capital. The rise in bond yields caused tremendous damage. The Financial Regulatory Bill (aka Dodd-Frank Bill) will be suspended,
just like the suspended FASB Rules on accounting practices in April
2009. The big US banks are to become bigger uglier darker zombies, more
desperate too. The resistance to liquidate remains firm and steadfast
with the utmost urgency and resistance.
The ongoing endless perpetual ZIRP & QE is their legacy, which has placed a noose around the neck of the nation. Systemic failure, dead ahead!! The
Gold Trade Standard will rise from the ashes of the wrecked USTreasury
Bond bubble, the greatest grandest beast in asset bubble history. 
Paul Craig Roberts: Former Treasury Secretary Timothy Geithner, a protege of Treasury
Secretaries Rubin and Summers, has received his reward for continuing
the Rubin-Summers-Paulson policy of supporting the “banks too big to
fail” at the expense of the economy and American people. For his service
to the handful of gigantic banks, whose existence attests to the fact
that the Anti-Trust Act is a dead-letter law, Geithner has been
appointed president and managing director of the private equity firm,
Warburg Pincus and is on his way to his fortune.