By Ben Cohen
Matt Taibbi is heading to DC to report on the cap-and-trade markup in Henry Waxman’s Energy and Commerce
Committee. According to Taibbi, it "Will give us some insight into what’s going on in the
Obama administration and how willing it is or is not to stand up to
certain financial interests."
The committee is part of an Obama initiative to better regulate the trading of energy commodities, and the new cap-and-trade proposal. According to Taibbi, the results of this committee will have immense ramifications down the line:
They could set it up in a way that is regulated and safe, keeping
all trades on a regulated exchange, or they could go the half-assed,
close-your-eyes-and-hope-it-doesn’t-explode route the Bush/Clinton
administrations chose with respect to the swaps and futures markets,
delivering a huge unregulated trading bacchanal to banks like Goldman
and Morgan Stanley, who of course made great fortunes trading this crap
before it blew up and we all had to pay to repair the damage.
If Henry Waxman has anything to do with it, I'm very hopeful it will be successful. Fingers crossed.