Exploding Toasters

Extended interview from the DVD edition of Michael Moore’s Capitalism: A Love Story with Harvard law professor and chair of the TARP Oversight Panel, Elizabeth Warren.

Not a perfect analogy, but I particularly liked this one Warren makes about the lack of financial regulation:

Financial products — and they are products, just like toasters — are sold today with the most dangerous features embedded in them, because that’s what drives profitability. What’s astonishing is that we let this happen. You know, you can’t buy a toaster in America that has a one in five chance of exploding. But you can buy a mortgage that has a one in five chance of exploding… and they don’t even have to tell you about it. We don’t hand people a wiring diagram with a toaster and say, “You figure it out.”

Warren’s work on the Oversight Panel can be viewed on its website here. It makes for some very very interesting reading and viewing.

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2 Comments

Filed under Economy

2 responses to “Exploding Toasters

  1. counter-coulter

    I thoroughly enjoyed her apperance on The Daily Show. She showed the direct correlation between the laxing of Wall Street regulations and periods of economic collapse.

    Not sure if you can see Daily Show episodes in Canada or not, but here’s her appearance.

  2. Unfortunately, we have to go through our domestic version of Comedy Central and can’t embed videos… Totally sucks.

    Warren is awesome. Like Sheila Bair at the FDIC, she’s a no-bullshit, straight-shooter. I’d love to see her heading up the Treasury. Can you folks get a another woman of similar caliber with balls to head up the Fed?

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