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William D. Cohan on How Goldman Sachs Came to Rule the World

Tuesday, April 12, 2011

William D. Cohan tells how Goldman Sachs became the most dominant, feared, and controversial investment bank in the world. In Money and Power: How Goldman Sachs Came to Rule the World, Cohan chronicles Goldman's rise and looks at its corporate culture, reputation, and the firm’s cultivation of powerful people. Robert Rubin and Henry Paulson, who both became Secretaries of the Treasury, are two of the powerful people under discussion. Their actions surrounding the financial crisis fueled much controversy and conspiracy theories.

Guests:

William D. Cohan

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Comments [9]

JP Sayles from http://politicalfinancereform.org/

Mr. Cohen,

At the following website is a pragmatic strategy to remove corporate influence from politics

http://politicalfinancereform.org/

This revolutionary concept is polling at 83% support, and there is a new petition at this site.

JP Sayles

Apr. 13 2011 07:20 PM
Peter Talbot

Seems we tiptoed around the control Goldman Sachs has on the National Democratic Party and it's general control of most Executive side oversight agencies (SEC, etc.) at both Fed and State levels. It isn't just AIG. Paulsen, Bernanke and company all knew that the Government had no choice but to bail them out so they could pay 100 cents on the dollar to foreign sovereign wealth funds: but none of this politically motivated brokering has been touched.today.

Apr. 12 2011 09:58 PM
Marilyn from NYC

A bit of trivia; Einstein didn't make the comment regard ability to hold two opposing ideas in your head simultaneously...it was F. Scott Fitzgerald.

Apr. 12 2011 12:40 PM
Logan

Wasn't Paulson caught giving inside information regarding the moves of the Fed to Goldman at a secret, and inappropriate, meeting during the initial stages of the meltdown?

Apr. 12 2011 12:28 PM
Hush hush from NYC

The WJF (Clinton foundation) will be Goldman's newest tenant starting this July at 77 Water St. It's just another fact involving Goldman and their ties that isn't illegal but certainly seems suspect.

Apr. 12 2011 12:16 PM
Mark

The reason people hate Goldman is not because it was "more successful" than other firms. It's because it got a free bailout through AIG. All the other banks had to face government intrusion after going on welfare but since Goldman's bailout was "laundered" through AIG they didn't have any penalty. If the government had let AIG fail Goldman Sachs wouldn't be "successful" at all, it would be broke.

Apr. 12 2011 12:10 PM
Jim

Paulson may have contributed to the moral hazard, but Greenspan started it in the 1990s by bailing out Long Term Capital Management. Wall Street was prepared to take the hit, but Greenie insisted on a bailout. That seems to have been the beginning of the end. It no longer pays to be responsible, as those who are are constantly robbed to bail out the reckless.

Apr. 12 2011 12:03 PM
bob wade from New Jersey

Hank Paulson was the fellow who convinced American politicians to rescue the banks with all taxpayer monies; he will go down in history as the man who saved the day but at the expense of moral hazard. It was the very same banks, along with GM, AIG, etc..who made terrible decisions that will eventually lead to another magnificent crises. Goldman Sachs is a rogue firm with out many scruples, they also pay out huge bonuses with ill gotten gains.

Apr. 12 2011 11:47 AM

I believe I read that Henry Paulson was required to sell his Goldman Sachs stock upon becoming Secretary of the Treasury. As it was a "forced" sale, capital gains tax were waived. Is this correct? Does it apply to other agencies or departments? If so, it would seem to be a powerful incentive for public service for Goldman employees with significant shareholdings.

Apr. 12 2011 11:14 AM

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