Hehe… the Floyd Norris Blog at the NYT has a quote from a reader:

“Goldman is revered for its financial acumen — isn’t it spectacular that, with only $10 billion in bailout money and $28 billion in low-cost loans it is able to earn $1.8 billion in profits last quarter?! Astounding.

To continue to upgrade their business, they have announced the following measures:
(1) They are changing their name to Goldman Sacks, Loots and Plunders.
(2) Chairman Lloyd Blankfein is changing his name to Lloyd Blank-check.
(3) In view of the developing hostility and stinginess among American taxpayers, they are moving their corporate headquarters to the coast of Somalia, where the opportunities for profit-making are not so constrained.”

Baseline Scenario is calling for laws to prevent conflicts of interest like that reported by the NYT:  the CEO of AIG, Edward Liddy owns $3million of Goldman Sachs stock.

“Let me be very clear on my position vis-a-vis AIG-Goldman and the broader Washington-Wall Street Corridor.  I’m not saying that anyone has broken any laws, but rather that laws need to be changed.”

But really, we already have laws against this- they just aren’t being enforced by the Obama administration.  Why not?  It’s simply not in the best interest of the government to enforce the laws of the land when the government is complicit in violation.  Manipulation of the stock market to benefit the banks is illegal too, but that law’s not being enforced either. Why not?  We guess the government doesn’t have to obey the law “in times of crisis”.