Several months ago I supported Ben Bernanke when his re-nomination as Chairman of the Fed came under fire. While others such as Simon Johnson called for his removal, I wrote that I instead wanted to see more focus on systemic incentives. Put a bit differently, I...
Posted February 17, 2010 | 11:03:56 (EST)
Today's NYT Dealbook headline reads (underlines added for emphasis):
Top banks will need an extra $221 billion of capital and see annual profits slump by $110 billion if all proposed regulations to reform the industry are brought in, leading analysts said on Wednesday, Reuters reported.
If...
Posted February 15, 2010 | 09:00:12 (EST)
In 2002 Warren Buffett wrote that in his view, credit derivatives were financial weapons of mass destruction ("FWMDs"). He made the comment while explaining to shareholders why he was unwinding a Berkshire Hathaway subsidiary dealing in them, and few outside of the value investor community paid much heed.
...Posted February 9, 2010 | 16:19:54 (EST)
I adore Elizabeth Warren and consider her one of the more courageous policy leaders in Washington today. Her simple, prescient toaster metaphors in 2007 -- remember the world before the financial crisis? -- were brilliant. That summer, a year before the collapse of Lehman Brothers, she...
Posted March 22, 2010 | 10:53:58 (EST)