Possibly, since he told ABC that "he wasn’t worried that tighter financial regulation would put U.S. banks at an international disadvantage. 'I’m very confident we can make sure that we are working very closely to raise global standards around the world so we have a level playing field,' Geithner said." His motivations are only slightly suspect. Why?
Under IFRS, assets are overstated as derivatives are measured in gross exposure, as opposed to GAAP which concerns itself with net value. More magic financial reporting; of course Geithner would want to see banks magically healed by a change in accounting. If we’re going to do it, let’s also restate years 1999 – 2009 so we can compare at least.
Incredible what a slight adjustment can do (See also: page 19 of the Deutsche Bank report “Financial Transparency” – bwhahaha).
Speaking to the G7 finance ministers in Iqaluit, Canada this weekend, Geithner reiterated his commitment to globalization, accounting magic, and the heavy hand of regulation.
"We all share a deep commitment to try to move forward and reach agreement on a strong, comprehensive set of financial reforms on the timetable we all committed to last September," he said at a closing press conference following a meeting of Group of Seven finance chiefs.
"That means agreement on ... a new set of capital requirements for large global institutions by the end of this year," he added, playing down the possibility that the Obama administration might be headed in a different direction from other governments.
Timmy is also somehow convinced that the United States will never lose its AAA rating but he forgets that the MBSs that the Fed is buying were also AAA once upon a time too. He also seems to have forgotten about our massive deficit.
At least he remembered to push the globalization agenda he’s been blabbering about all this time.