13 Bankers: The Wall Street Takeover and the Next Financial Meltdown — CHAPTER 7: THE AMERICAN OLIGARCHY

1. 1. The largest U.S. banks have grown even bigger since the 2008 bailout, increasing concentration and systemic risk.
2. 2. The implicit government subsidy for too-big-to-fail banks was valued at $34 billion per year in 2009.
3. 3. Proposed financial reforms in 2009 failed to break up the largest banks or significantly reduce their power.
4. 4. Bank lobbying successfully weakened the proposed Consumer Financial Protection Agency, stripping it of product regulation authority.
5. 5. The financial sector's share of U.S. corporate profits rose from 10% in the 1980s to 40% in 2007, indicating excessive rent extraction.
6. 6. Paul Volcker's proposal to ban proprietary trading by banks was rejected by the Obama administration in 2009.
7. 7. Bank mergers have not led to significant efficiency gains, according to multiple studies.
8. 8. The financial industry's political power is demonstrated by its lobbying expenditures and campaign contributions, which dwarf those of other sectors.
9. 9. Predatory lending practices disproportionately targeted minority borrowers, even after controlling for creditworthiness.
10. 10. The resolution mechanism for failing systemically important banks proposed in 2009 was criticized as inadequate and unlikely to work.