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Pure and complete lying. The government could have rescued Lehman Brother's. It would have created very bad problems with TBTF, but they could have rescued t
by blazespin 11y ago
Pure and complete lying. The government could have rescued Lehman Brother's. It would have created very bad problems with TBTF, but they could have rescued them. He's just trying to make it seem as if all the things they did were right by pretending he was wrong in this one narrow instance.
I'm not saying that what they did was wrong. But the guy here is just making up this pretend honesty to solidify all the choices he made afterwards.
Anyone who swallows this self serving nonsense is naive.
- roymurdock 11y ago> It would have created very bad problems with TBTF That's one of the reasons that both Paulson and Bernanke cite for not bailing out Lehman. Technically the government can bail out whoever they want for whatever amount they want. Bernanke isn't dumb - he knows this. He is saying that the bailout was impossible from a cost-benefit perspective. Setting a TBTF precedent so early on and putting the garbage debt-profile of Lehman's underlying assets on the government's balance sheet were too risky to justify bailing the bank out. I'm also willing to reserve judgement until I read the full book rather than a few quotes picked out by the NYT.
- blumkvist 11y agoWell, can you back up your claims with something of substance? Believing Bernanke is naive, but believing a random person on the internet, who provides no argumentation whatsoever is prudent?