The other day I listened to Terry Gross of Fresh Air talking to Gretchen Morgenson, a business editor for the New York Times about the bailouts and how the Treasury Department has been reluctant to disclose or report on many metrics about how the money is being dispersed and how the banks are spending the money. While Morgenson did a good job explaining how bad it is for the Treasury to stonewall, she and Terry failed to address the obvious question; why aren’t they revealing this information?
To me, that’s the interesting question because Obama has made transparency a huge issue so you would think they would have no incentive not to disclose information. So why are they dragging their feet? The reason(s) may go to the heart of what’s wrong with our financial system. Here are some of my guesses:
*If people knew how bad the situation was, they would panic.
*The culture of “we know best” is inherent in the Treasury department no matter who is President.
*Incompetence: the Federal Government is very slow to change its ways and create new systems.
*The financial industry doesn’t want to be forced to reveal this kind of information and the government is complicit because of a similar mentality and huge campaign contributions meant to guarantee special treatment.
Feel free to come up with more of your own.