Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve?

Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve?
Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve? | The Nation

"Neel Kashkari, November 4, 2014, in Costa Mesa, California. (AP Photo / Chris Carlson)

It’s hardly a secret that the halls of government are filled with graduates of Goldman Sachs, the controversial Wall Street investment bank. But the revolving door between Washington and Goldman has been spinning a little faster of late, depositing three of the bank’s alumni into top slots at the Federal Reserve in recent months. This should concern anyone with a commitment to democracy, transparency, and a government free of corporate influence—and it should prompt swift action from Federal Reserve Chair Janet Yellen, who has the power to stop dubious appointments and can exercise her authority to reform how Fed leaders are selected. "

It does seem peculiar that these executives keep coming from one financial institution.
Could this be to maintain confidentiality?
Does Goldman Sachs operate Federal Reserve and/or US Treasury transactions?
Would these be Plunge Protection Team transactions?
Would these be Exchange Stabilisation Fund transactions?
Could thse transactions be manipulations?

Re: Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve

You do realize that the Federal Reserve, despite it's name, is a private bank...not part of our government?

It has been granted (wrongly IMO) the power to both print and otherwise control the amount of money allowed to exist in circulation. It "lends" money to other banks at preferred interest rates. Yes, it is run by a Board appointed by the President and confirmed by the Senate, but it is almost always made up of individuals selected from the financial institutions who are it's customers.

Why? Because it was set up that way. :shrug:

Re: Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve

Perhaps a little clarification is necessary. The Plunge Protection Team can react to and control plunges in the stock market, commodities, etc. by exercising large financial moves and by manipulating futures markets with short sales (just as an example). It requires no votes, just Presidential approval. The Exchange Stabilisation Fund seems to be for manipulating foreign exchange or the values of currencies. The persons privy to transactions would have powerful insider information and the Players would not want them outside the loop, or not? So, what do we collectively think or morel likely, individually?

Re: Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve

Captain Adverse said:

You do realize that the Federal Reserve, despite it's name, is a private bank...not part of our government?

It has been granted (wrongly IMO) the power to both print and otherwise control the amount of money allowed to exist in circulation. It "lends" money to other banks at preferred interest rates. Yes, it is run by a Board appointed by the President and confirmed by the Senate, but it is almost always made up of individuals selected from the financial institutions who are it's customers.

Why? Because it was set up that way. :shrug:

Click to expand...

As a private bank, that is even more reason to diversify your talent pool. I agree that it is wise to select from individuals representative of the financial institutions that are its' customers. When they all come from the same Corporation, it engenders suspicion, as if they are trying to keep something confidential and that is the nature of the post.

Re: Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve

They're good at their job and well connected.

Those people are some of the most capable folks in the financial world.

Re: Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve

Van Basten said:

They're good at their job and well connected.

Those people are some of the most capable folks in the financial world.

Click to expand...

I don't dispute that one iota. It is not the question. There are many huge financial institutions i.e. JPMorgan, BoA, ad infinitum, all with equally qualified individuals. There is a revolving door scenario between Goldman Sachs and the Federal Reserve. That's the same thing that happens between large Regulatory Agencies and the Corporations that they regulate. It's the same scenario between the Military and Military Industries. When the Corporations are in bed with the Regulators, regulation becomes collusion to benefit the Regulated, don't ya' know? Is that what is occurring in this instance? Or is it State Secrets as regards financial transactions affecting various markets.

Re: Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve

Captain Adverse said:

You do realize that the Federal Reserve, despite it's name, is a private bank...not part of our government?

It has been granted (wrongly IMO) the power to both print and otherwise control the amount of money allowed to exist in circulation. It "lends" money to other banks at preferred interest rates. Yes, it is run by a Board appointed by the President and confirmed by the Senate, but it is almost always made up of individuals selected from the financial institutions who are it's customers.

Why? Because it was set up that way. :shrug:

Click to expand...

Too bad Burr didn't shoot Hamilton a few years earlier than he did... we might have been spared the wretched, unconstitutional injustice of any kind of "central bank" at all. All we ever needed was a free-market economy and a Treasury Department. That's all we had, really, until liberal Democrat President Woody Wilson and his buddies put the Federal Reserve System banking cartel into existence 102 years ago....

Re: Why Do Former Goldman Sachs Bankers Keep Landing Top Slots at the Federal Reserve

Pollycy said:

Too bad Burr didn't shoot Hamilton a few years earlier than he did... we might have been spared the wretched, unconstitutional injustice of any kind of "central bank" at all. All we ever needed was a free-market economy and a Treasury Department. That's all we had, really, until liberal Democrat President Woody Wilson and his buddies put the Federal Reserve System banking cartel into existence 102 years ago....

Click to expand...

Cartel and perhaps that is why the revolving door is with Goldman Sachs. I will be the first to admit that I do not trust the machinations of Big Banking. The USA has seemed to do its' best when it had National Banks. Why does the Federal Reserve fight to not be audited by Congress? Who are the Federal Reserve Stockholders? It is a CORPORATION.