“Then why would he sell CDS on it?”
Because he knew it would be paid for with a TARP, provided by his GS governmental employees whenever he needed, and that they would never have to eat it.
And thats what happened. The US government gave 10 billion of TARP funds to GS. Amazing, he can talk about the need for containing entitlements, as he enjoys the mother of all entitlements.
Wonder what a capitalist investment bank would look like? You know, one that doesn’t get governments funds anytime it it’s about to lose a bunch on bad investments.
That's just silly. A short term loan doesn't pay for losses.
And thats what happened. The US government gave 10 billion of TARP funds to GS.
Gave? It was awful! They borrowed $10 billion and the Treasury received $11.4 billion back.
Amazing, he can talk about the need for containing entitlements, as he enjoys the mother of all entitlements.
If entitlements paid back the government more than they cost, we would need no reform.