On Nov 27, 2009, at 11:23 AM, Michael Pollak wrote:
> On Fri, 27 Nov 2009, Doug Henwood wrote:
>
>> I got it from the "SIGTARP" audit.
>
> Fair enough -- can't get a more reputable source for criticizing the
> Fed than that. So then it's their logic I don't quite get.
Rescuing AIG meant, in large part, paying off the holders of its credit insurance. The Fed could have said, hey, your hair's too long, it'd look nice a little shorter. Instead, because Goldman et al whined, the man a friend calls Timmee! decided to pay them in full. He claimed he had no negotiating leverage, which is absolute nonsense.
Doug