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BOE's Mervyn King 'Surprised Anger Directed At Bankers Is Not Greater'

Tyler Durden

today claimed the fall in households' living standards was the fault of the financial services sector and he expressed sympathy that innocent families paying the price. "The people whose jobs were destroyed were in no way responsible for the excesses of the financial sector and the crisis that followed," he told MPs on the Treasury Select Committee. The people who are now suffering "did not get bonuses of the scale people in the financial sector got". The financial crisis may have occurred two years ago but, as austerity measures kick in, "the cost is now being felt", he said.It remains "a big political problem", he added: "I'm surprised the real anger hasn't been greater than it has." What anger? Doesn't Merv realize Joe Peasant simply looks at the closing level on the Russell 2000 and says: "Damn, bitch, I am rich. And the economy is just humming along. It just makes me so happy" More importantly, if he continues with that kind of talk, King would be well advised to not get closer than 500 feet to any book repository.

The Governor also warned that living standards may be permanently lower than where they would have been under the economy's trend growth rate before the crisis. "The evidence of the past is that the impact of a [financial] crisis like that persists for many years," he said.

"You may not get it back for very many years if ever. It's a very real hit on living standards. That's why it is important to take the issue of financial stability very seriously."

Making a personal commitment, he said he hoped to ensure the banks would never again be allowed to cause a recession of the scale just witnessed. "I joined the Bank of England 20 years ago today," he said. "I don't want to leave until we have a framework in place to ensure we don't have to go through this again."

And the full clip confirming that what started with an isolated mutiny within the Fed's presidents with Hoenig, has slowly metastasized into a worldwide revolt against a criminal banker oligarchy.

www.zerohedge.com/article/boes-mervyn-king-surprised-anger-directed-bankers-not-greater

March 1, 2011

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