I don't know why this isn't out there.
From Wikipedia:
In the US, the Glass-Steagall Act, initially created in the wake of the Stock Market Crash of 1929, prohibited banks from both accepting deposits and underwriting securities which led to segregation of investment banks from commercial banks. Glass-Steagall was effectively repealed for many large financial institutions by the Gramm-Leach-Bliley Act in 1999.In the US, the Glass-Steagall Act, initially created in the wake of the Stock Market Crash of 1929, prohibited banks from both accepting deposits and underwriting securities which led to segregation of investment banks from commercial banks. Glass-Steagall was effectively repealed for many large financial institutions by the Gramm-Leach-Bliley Act in 1999.
Which led to the current crisis
And who voted for this act that led to this meltdown?
In the Sentate
44 Republicans voted for it.
39 Democrats voted against in
Among the senators voting for it: John McCain
According to www.govtrack.us
A major advisor on once member of the McCain campaign: Phil Gramm, author of the bill and current crisis.
Change? The guys who created this disaster now want to protect us from it and fix?
Please, Mr. Obama, don't let them get away with this. Contrary to your statement yesterday you CAN blame John McCain for this disaster. You must.
UPDATE: Cause of the liquidity crisis: Small banks with excess capital won't lend to big banks because they don't trust them, therefore, the Fed has to supply the capital.