actually issuing more of these debts making the system less open but nobody is going by any of the volcker rule nobody's doing any compliance at all to any rules they're simply repackaging the same worthless toxic debt ad infinitum and reselling it back to themselves over and over again to take the fee and because interest rates for them are zero or less than zero now they get a bunch of friends policies there's no risk to them but meanwhile in the other part of the reality curve you've got people who are now paying two three four times more for food for energy for a debate for health care for airline tickets so their quality of life is shrinking and you've got countries now impose bringing about laws that would institutionalize serfdom here in this story you have these collateralized debt obligations people can't get enough of junk and yet the e.c.b. is saying somehow sending rates negative the deposit rate is going to drive more loans like we need more there is already too much they were there packaging junk off you know to income off the pavement they're turning it into a high aaa rated bond

actually issuing more of these debts making the system less open nobody is going by any of the volcker rule nobody's doing any compliance at all to any rules they're simply repackaging the same worthless toxic debt ad infinitum and reselling it back to themselves over and over again to take the fee and because interest rates for them are zero or less than zero now they get a bunch of friends policies there's no risk to them but meanwhile in the other part of the reality curve you've got people who are now paying two three four times more for food for energy for the bank for health care for airline tickets so their quality of life is shrinking and you've got countries now impose bringing about laws that would institutionalize serfdom here in this story you have these collateralized debt obligations people can't get enough of junk and yet the e.c.b. is saying somehow sending rates negative the deposit rate is going to drive more loans like we need more there is already too much that would there packaging junk off you know to income off the pavement they're turning it into a high aaa rated bon

actually issuing more of these debts making the system less open but nobody is going by any of the volcker rule nobody's doing any compliance at all to any rules they're simply repackaging the same worthless toxic debt ad infinitum and reselling it back to themselves over and over again to take the fee and because interest rates for them are zero or less than zero now they get a bunch of friends policies there's no risk to them but meanwhile in the other part of the reality curve you've got people who are now paying two three four times more for food for energy for the bank for health care for airline tickets so their quality of life is shrinking and you've got countries now impose bringing about laws that would institutionalize serfdom here in this story you have these collateralized debt obligations people can't get enough of junk and yet the e.c.b. is saying somehow sending rates negative the deposit rate is going to drive more loans like we need more there is already too much they were there packaging junk off you know to income off the pavement they're turning it into a high aaa rated bond

there is the volcker rule. as i look at the causes of this, i think 100% securitization is a big part of the problem. nothing in glass-steagall would've prevented countrywide from making all those lousy loans and securitizing the 100%. nothing would've stopped a idea from screwing up as badly as it did -- aig from screwing up as badly as it did with derivatives. if people want to break up the banks -- they may be too big to manage. as i said, there are things that shrink it. elizabeth warren who is a proponent of putting back -- the repeal was not the cause of the crisis. >> i agree with what barney just said as well. my view is that the issue is not so much the size of the institution but rather the risk that institutions take on. to that extent, whether it is capital, liquidity -- other measures determine whether the institution is in good shape. making the assumption because of its size does not hold water. i am inclined -- first of all, the banks and neighboring countries of ours that are much larger than u

months ago was told that there would be more coordination and guidance on the implementation of the volcker rule. unfortunately, i have not heard of a lot of follow through on his pledge. would you review with those what is being done to provide financial services providers with the guidance they need to comply with the many complexities of the volcker rule and give us some assurance that implementation questions that were posed to the working group will be answered? i know six months later only six of those 80 questions have been answered. >> congressman, i think the fact that an identical role was issued on the same that but all the agencies action was an important step of giving guidance. my fear was there would be differences that caused confusion and i think it's important that there is one rule. so i think that is the foundation but it hasn't actually gone into effect in terms of compliance yet, and the regulators are working amongst themselves as they go into the implementation stage to stay in close contact. because there is obviously the risk that you end up with common law in each of t

it wasn't the volcker rule. it had to do with the creation of a consumer protection bureau and what they perceived to be too tough on corporate governance issues. those with the two factors that cause this bill not to have him bipartisan -- to have bipartisanship. was a necessary to have a democratic president and house and senate -- no, but it would've been a different bill. it would've been possible if we had a republican president and a democratic house and a democratic senate. it would've been possible if we had a democratic president and a republican senate. we showed much more willingness to quite right with a republican president. we would've had to weaken a little bit. the one example of that -- that w a major piece of legislationas. . he created the first efforts to try to deal with foreclosure. it dealt with a very large chunk of thanksgiving large authority to the treasury. that happen with the bush administration. it could've been passed it wasn't a republican house-senate but it would've been a less

upon. >> regulator to want to admit their own -- >> the volcker rule, it's like six pages of some what kind of rule and then it's like 900 pages of exceptions to the rule. it's ridiculous. and living wills, too. going back to your question, after world war ii and after that treated where, before that were fdr went off the gold standard, it was something bankers wanted at the time. although they were in support of some of the reforms the divided speculation from deposits, whenever it's easier to have money to speculate with, i.e. you don't have to connect to go to, you don't have accountability to what you do with it, whatever the matter is, the less research and have the easier it is, the more likely you will make money quickly. that was part of the gold standard. that went to the nixon created gus when nixon finally took the u.s. off of the gold standard he went up and talked about how it was his idea but, in fact, it was rockefeller and others, because they really, really pushed for this idea that america needed to expand. in order for america to be powerful after the world war into

interesting dynamic because you have these etfs this need all this liquidity and you have the volcker rule you don't have anyone able to make price stability in the market. >> great to have you. best of luck and success in your new venture. >> thank you. thank you for having me. >> nancy davis, quadratic. >>> coming up, what pete is seeing, unusual activity in apple. we'll break it all down and tell you how to play it next. we started zya with the thought that the kid on the back of the bus might have a song that he has in his head but he just can't get out. with the technology of cloud, we change all that. i can sing something into my device. up to the cloud it goes. back down it comes sounding better. we break down the walls of creation, and we give music creation for the masses. ♪ ♪ could save you fifteen percent or more on car insurance. mmmhmmm...everybody knows that. well, did you know that old macdonald was a really bad speller? your word is...cow. cow. cow. c...o...w... ...e...i...e...i...o. [buzzer] dangnabbit. geico. fifteen minutes could save you...well, you know. starts at 6:30

laws have gotten ever more detailed over the last few decades, 950 page volcker rule just to prevent anyone from ever using judgment because they're scared some might use their judgment badly. we have procedures that go on forever because no official has the authority to draw the line on when enough is enough. in 1956, the interstate highway act and the act that created the highway trust fund totaled 29 pages in length. in 2012, map-21 was 584 pages, and my favorite part of it is the almost 30 page part, that so long as the entire interstate highway act, where the detailed procedures for the acceleration of project delivery. 30 pages. there's something wrong with this picture. you go to this level, this level, this level and violent as the and it says the president can decide. never along the way is there an authorized decision-maker. you can't run anything that way. so what's happened is we have a paralyzed government. there is this sense of polarization is to blame for all of this. the polarization is terrible but i argue in the book that polarization is more a symptom than a cause

would you review what it has done to comply with the of volcker rule and give us some assurance the implementationstions will be answered? i know six months later only six of those questions have been answered. >> the fact an identical rule was issued was in important step to give guidance. my fear is there would be differences that caused confusion and it is important there is one rule. and has not gone into effect with compliance but the regulators are working amongst themselves with the implementation stage tuesday in close contact because there is the risk of common lot with the agencies in different directions. that is not a direct response ability but the important question that i asked the regulators as well >> i appreciate your willingness to get that. >> time is expired. the chair recognizes the gentleman from delaware. >> thank you for coming today and your good work. and readings the tea to its annual report. one of the things discussed is the repo market as the area of vulnerability for the financial system and a packet in february before the committee called it the second greatest thr

support but given the fact that we have unilaterally burdened financial institutions with the volcker rulee rest of world does not have a similar regulatory regime, since we unilaterally burdened our manufacturers with greenhouse gas standards not imposed by other countries, since we unat rally imposed our financial institutions higher capital standards than rest of the world. we unilaterally united states business community to the highest corporate tax rate in the world, what is the difference. >> congressman i would actually counter on two of those issues and on the third agree with you. when it comes to volcker, you have processes going on through other international processes. vickers where they're looking to put in similar kinds ever systems. if you look at climate rules, the agreements made in copenhagen were very important. we're complying, you know, meeting our standards. other countries are doing the same. i agree with you, we need to do business tax reform. we should not have a statutory business tax rate as high as we do. i would look forward to bipartisan -- >> i'm glad we agre