You win some, you lose some.
That’s the insurance business.
Bingo.
Paulson with our 700 billion is try to establish a market/floor for the crappy subprime loans in order to avoid the catostrophic trigger of credit default swaps bankrupting financial institutions world wide.
Unfortunately, many people (conservatives) don't understand the problem and blithely believe the markets will solve everything. That attitude did not work in 1929 and it likely won't work today.
I’m not market or financial expert by any means, but the more I read about the Credit Default Swaps leads me to believe that there was a lot of fraud taking place. Individuals hedging both ends of the game...one one side providing easy credit to high-risk borrowers knowing they would fail, and then on the other end using the Credit Default Swaps to bet that the mortgages would fail. I know this is simplistic as I explained it, but I could see white collar financial whizzes (with assistance from the mob — Russian or otherwise) playing this game to the hilt. Should I take off my conspiracy hat?
The next big drama we see will be “PRO BULLSHEET BAILOUT BIGGIES” threatening and/or resigning and quiting in >>outrage<<.
In reality what they will be doing is simply, CRYING and POUTING, throwing a tantrum and quite possibly some of them may be getting out of the kill zone, and leaving the country with as much as they can steal and shove into their one piece of luggage.
But they will always be looking over their shoulders for those angry Loan Sharks they left waiting at the EL CASINO DE WALL STREET.
bump 4 l8r
He didn’t become a billionaire by being stupid, he’s doing what the Rothschilds did in Europe, decades ago...buying when others panicked and sold.
Democrat Buffett is enriching himself at the expense of the taxpayer bailout.