Elizabeth Warren

  • Aired:  05/19/14
  •  | Views: 102,969

"A Fighting Chance" author Elizabeth Warren discusses the erosion of America's middle class and makes the case for tougher regulation of the banking industry. (7:28)

>> WELCOME BACK, EVERYBODY,MY GUEST TONIGHT HAS A NEW

MEMOIR CALLED A FIGHTINGCHANCE. SHE'S ABOUT TO GET

A CHANCE TO FIGHT.

PLEASE WELCOME SENATORELIZABETH WARREN.

(APPLAUSE)

SENATOR WARREN, THANKS SO MUCHFOR COMING BACK.

ALL RIGHT.

WELL, FIRST OF ALL, LET MESAY IT'S A PLEASURE TO

HAVE YOU BACK.

IT'S BEEN A FEW YEARS.

>> GOOD TO BE HERE.

>> AND I WANT TO REMIND YOUTHE LAST TIME YOU WERE HERE

I DID NOT CALL YOU SENATOR,BECAUSE YOU WERE NOT A

SENATOR.

>> THAT'S RIGHT.

>> Stephen: YOU ARE WELCOMEFOR THE COLBERT BUMP.

>> THANK YOU.

>> Stephen: I WILL GET MYTASTE ON THE BACK END, NO

DOUBT.

OKAY.

SENIOR SENATOR FROMMASSACHUSETTS, FORMER

HARVARD LAW PROFESSOR WHOCAME WITH THE IDEA FOR THE

CONSUMER FINANCIALPROTECTION BUREAU, ALSO

CHAIRED THE CONGRESSIONALOVERSIGHT PANEL OF THE $700

BILLION TARP PROGRAM AND YOUHAVE WRITTEN NINE BOOKS, THE

LATEST OF WHICH IS AFIGHTING CHANCE.

WHO HAS GOT THE FIGHTINGCHANCE HERE, SENATOR?

ARE YOU THE PERSON FIGHTINGOR IS AMERICA THE PEOPLE

FIGHTING.

>> WELL, A LITTLE OF BOTH.

LOOK I'M SOMEBODY WHO GREWUP ON THE RAGGED EDGE OF THE

MIDDLE CLASS. MY DADDY WAS AMAINTENANCE MAN

MY MOM WORKED A MINIMUM WAGE JOBAT

SEARS THERE WAS NO MONEY FORCOLLEGE.

>> DON'T YOU TRY TOOUTHUMBLE ME.

I WILL NOT BE OUTHUMBLED.

MY FATHER WAS AN APPALACHIANTURD MINER, OKAY.

>> GOT IT BUT HERE WAS THEKEY DIFFERENCE.

I GREW UP IN AN AMERICA THATWAS INVESTING IN KIDS.

IT WAS INVESTING IN PUBLICUNIVERSITIES IT HAD A HIGHER

MINIMUM WAGE.

IT WAS AN AMERICA THAT SAIDEVERY KID WOULD GET A

FIGHTING CHANCE.

AND THAT'S HOW WE BUILTAMERICA'S GREAT MIDDLE

CLASS.

THEN STARTING IN ABOUT THE1980s WE TURNED IN A

DIFFERENT DIRECTION.

>> YOU MEAN WHEN REAGAN CAMEIN AND IT WAS MORNING IN

AMERICA.

(LAUGHTER)THE DIRECTION TOWARD

GREATNESS PRIDE.

>> YES, THAT IS THE RIGHTTIME, WHEN THIS HAPPENED.

(LAUGHTER)(APPLAUSE)

>> SO WE ARE ON THESAME PAGE SO FAR.

>> THAT'S RIGHT.

AND WHAT HAPPENED IS THAT HEHAD A COUPLE OF IDEAS.

THE FIRST ONE WAS THAT THEYWOULD FIRE THE COPS.

NOT THE ONES ON MAIN STREETBUT THE ONES ON WALL STREET.

>> THE ONES WHO WERESHACKLING CREATIVITY, AND

INGENUITY IN

OUR FINANCIAL INSTITUTIONS.

>> AND MAKING SURE THEBIGGEST FINANCIAL

INSTITUTIONS ACTUALLY FOLLOWEDTHE LAW.

THOSE WERE THE COPS THEY GOTRID OF.

>> THE LAW THAT IS AVAGUE TERM, LAW.

ONE MAN'S LAW ISANOTHER PERSON'S REGULATION.

AND REGULATION IS BAD.

REGULATION STIFLES BUSINESSAND STIFLES

ENTREPRENEURSHIP.

>> NO, NO.

NO, SEE IF WE DON'T HAVESOME BASIC RULES THEN WHAT

HAPPENS IS EXACTLY WHATHAPPENED THEN.

AND THAT IS THE BIGFINANCIAL INSTITUTIONS MADE

BILLIONS OF DOLLARS BYCHEATING PEOPLE ON CREDIT

CARDS, MORTGAGES.

>> WHAT DO YOU MEAN CHEATINGPEOPLE ON CREDIT CARDS.

YOU SIGN UP FOR A CREDITCARD, USE THE CREDIT CARD

AND THEN YOU HAVE TO PAYYOUR BILLS, IS THAT TOO

COMPLICATED FOR HARVARD?

>> OH.

>> SO YOU JUST ACCUSEDREAGAN OF SUPPORTING

CHEATING PEOPLE.

THOSE WERE YOUR WORDS.

>> LET'S BE CLEAR ABOUTTHIS.

IT WAS SUPPORTING HAVING THEREGULATORS LOOK THE OTHER

WAY.

WHILE THE BIGGEST FINANCIALINSTITUTIONS HID EVERY TRICK

AND EVERY TRAP POSSIBLE INCREDIT CARDS, IN MORTGAGES,

IN CHECKING ACCOUNT RULES.

AND THEY MADE BILLIONS OFDOLLARS DOING IT.

AND AT THE SAME TIME THEYLOADED UP ON RISK.

AND WHAT ULTIMATELY HAPPENEDBY 2008 WAS THAT THEY BROKE

THE ECONOMY.

THEY GOT BAILED OUT BY THETAXPAYERS.

THEY CONTINUED TO BREAK THELAW IN FORECLOSING ON

PEOPLE'S MORTGAGES.

>> BUT LET ME POINTSOMETHING OUT TO YOU.

WE GAVE THEM A TON OF MONEYFOR TARP, OKAY.

>> THAT'S RIGHT.

>> WE MADE $52 BILLION.

THE AMERICAN PEOPLE, THEGOVERNMENT MADE $52 BILLION

ON TARP.

WE MADE A PROFIT, THEINDIVIDUAL HOMEOWNERS WHO

WERE BAILED OUT, WE LOST 7.5BILLION ON THOSE PEOPLE.

>> OH.

>> AREN'T YOU BACKING THEWRONG HORSE HERE?

THE BANK, THE BANKS GAVE USTHE PROFITS, THE MIDDLE

CLASS DOESN'T GIVE THEPROFIT BACK.

WHY ARE YOU WORKING SO HARDTO HELP PEOPLE WHO AREN'T

PAYING THEIR BILLS.

>> OH, SO -->> AGAIN THIS IS A LOT OF

FREELOADING I'M HEARING YOUREPORT.

IT IS JUST MORE SOCIALISM.

>> YOU ARE RIGHT THERE HASBEEN A LOT OF FREELOADING

BUT THE FREELOADING HAS BEENBY THE BIGGEST FINANCIAL

INSTITUTION WAS GOTBAILED-- .

>> WHO PAID US BACK.

>> THEY GOT BAILED OUT BYTHE AMERICAN TAX PAYERS,

WHO BROKE THE LAW AND WERENEVER HELD RESPONSIBLE.

>> BROKE THE LAW, WHAT LAWSDID THEY BREAK?

NAME ONE LAW THEY BROKE.

>> HOW ABOUT THE MORTGAGELAWS THAT SAID THEY WERE

SUPPOSED TO FOLLOW CERTAINRULES WHEN THEY FORECLOSED

AGAINST PEOPLE'S HOMES.

AND WHAT THEY DID IN TEXAS,THEY SAID WE COULD SAVE A

LOT OF MONEY IF WE DIDN'TFOLLOW THE LAW.

THEY HAVE ADMITTED TO THATBUT HERE IS THE KEY PART.

NOBODY WENT TO JAIL FOR ANYPART OF THIS.

THE ONLY PEOPLE IN AMERICATODAY WHO GO TO JAIL ARE

REGULAR FOLKS.

BIG FINANCIAL INSTITUTIONSGET OUT THERE, THEY LAUNDER

DRUG MONEY, THEY VIOLATE THELAW AND STILL NO ONE IS HELD

ACCOUNTABLE.

I THINK THAT'S FUNDAMENTALLYWRONG, EVERYONE SHOULD--

(APPLAUSE)>> LADIES AND GENTLEMEN, I

WILL ASK YOU, JUST OUT OFPOLITENESS, OUT OF

POLITENESS DO NOT CHEER FORME IN THE MIDDLE OF HER

ANSWER.

(LAUGHTER)>> YOU CANNOT-- THE REASON

WHY YOU CANNOT SEND THESEPEOPLE TO JAIL IS, HAVE

YOU EVER HEARD OF THEINVISIBLE HAND OF THE MARKET,

HAVE YOU HEARD OF THAT.

>> YEAH.

>> YOU CAN'T PUT HANDCUFFSON AN INVISIBLE HAND.

THE COPS CAN'T FIND IT SO IT'SUP TO THE INVISIBLE HAND OF THE

MARKET TO SAY THIS IS THE WAYYOU MAKE MONEY IS TO --

>> YOU ARE JUST PUSHING THEENVELOPE.

WHAT YOU CALL BREAKING THE LAWI CALL PUSHING THE ENVELOPE.

>> WELL, YOU COULD PUTHANDCUFFS ON PEOPLE WHO PUSH

THE ENVELOPE.

WHEN THEY BREAK THE LAW THEYDESERVE TO HAVE HANDCUFFS

THAT'S HOW IT SHOULD BE.

NOW THIS IS-- (LAUGHTER)

(CHEERS AND APPLAUSE)>> I SEE HOW THIS WORKS.

THIS IS WHAT THIS BOOK ISALL ABOUT.

>> A FIGHTING CHANCE.

>> IT'S ABOUT WHOSE SIDE THEGOVERNMENT IS GOING TO BE

ON.

>> OKAY.

>> IS IT GOING TO BE ON THESIDE OF THE LARGEST

FINANCIAL INSTITUTIONS ANDTHE LARGEST BANKS ON WALL

STREET, THE ONES THAT CANHIRE A LOT OF LOBBYISTS AND

LAWYERS, OR IS IT GOING TO

BE ON THE SIDE OF REALPEOPLE.

YOU KNOW WE-- (APPLAUSE)

>> WE CAN'T HAVE CAPITALISM IFTHERE AREN'T RULES.

NOBODY SHOULD BE ABLE TOSTEAL YOUR PURSE ON MAIN

STREET OR BE ABLE TO STEALYOUR PENSION ON WALL STREET.

>> THE OBVIOUS QUESTION ISARE YOU RUNNING FOR

PRESIDENT?

(LAUGHTER)>> NO, I'M NOT RUNNING FOR

PRESIDENT.

>> YOU'RE NOT RUNNING FORPRESIDENT, OKAY.

RIGHT NOW YOU'RE NOT RUNNING.

A LONG TIME BETWEEN NOW AND2016.

>> I'M NOT RUNNING FORPRESIDENT.

>> YOU'RE NOT RUNNING FORPRESIDENT, OKAY.

LAST QUESTION, ARE YOURUNNING FOR PRESIDENT?

(LAUGHTER)>> I'M NOT RUNNING FOR

PRESIDENT.

>> ALL RIGHT, THAT'S AMAYBE.

ELIZABETH WARREN, THANK YOUSO MUCH FOR JOINING ME.

SENATOR ELIZABETH WARREN.

THE BOOK IS A FIGHTINGCHANCE.

WE'LL BE RIGHT BACK.

THANK YOU SO MUCH.

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