Europe welcomes Obama bank plan, won't imitate it
LONDON/PARIS (Reuters) – Major European economies offered support on Friday for U.S. President Barack Obama's plan to limit banks' size and trading activities but indicated they had no plans to follow suit.
Obama's dramatic proposals could rewrite the world financial order but experts said they were light on detail and could cloud the global approach fostered by the Group of 20 nations.
The European Union will not imitate Obama's plan, because it aims to reduce risk in the sector through other means, an EU source said on Friday.
"Look, we understand the U.S. position and we understand his reasons. But I can't see the EU going down this route," the source, who is close to EU financial policymaking, told Reuters.
So what do you think?
I am going to admit, I am not a financial expert. With that said, I can't help but think that Obama is being taken for a sucker by the international banking community. My uneducated guess is that they are more than happy to stand aside and let him hamstring our banks while they let their banks grow and prosper.
Next thing you know they're going to spend all of their money on social programs instead of a strong military and expect us to protect them.