Saturday, September 12, 2009

Commentator or Fiction Writer?

Simon Johnson has another barely-coherent article in The New Republic about financial crises past, present, and future. Johnson has never been interested in making serious, fact-based arguments, but this article has to be his worst. I think this part amused me the most:

During the heady days of summer 1927, the Fed had done something else that would contribute to the Great Depression: It lowered interest rates.
The "heady days of summer 1927"? The U.S. was in a recession in the summer of 1927. I guess if the facts don't fit your conspiracy theory, you just change the facts. He also manages to describe the LTCM crisis without ever even mentioning that a consortium of fourteen Wall Street banks bailed out LTCM to the tune of $3.625 billion. (Johnson conveniently omits any reference to this massive debt-for-equity swap, even though he's previously argued that, with debt-for-equity swaps, "the problem of moral hazard . . . would at once be forgotten.") Instead, he focuses on the moral hazard created by the Fed's decision to cut rates 50bps in the weeks following the LTCM crisis. I kid you not. These two examples are just the tip of the iceberg. TNR's editors should be thoroughly embarrassed.


Anonymous said...

He's really popular with the Huffington Post crowd.

The Federal reserve is under attack from some really stupid people. It's sort of scary.

Anonymous said...

he or she
Diablo III Gold targets this moral threat produced by the actual Fed's choice to slice premiums 50bps within the months following the LTCM crisis. My partner and i child happened. Those two good examples are just the tip from the iceberg. TNR's editors needs to be Billig Diablo 3 Goldextensively embarrassed.

Trần Duy Thuận said...

Trần Duy Thuận Blog đang cần nhận gia công tại nhà. Ai có cần người nhận gia công tại nhà tphcm liên hệ mình nhé. Truy cập vào đặt vé máy bay giá rẻ vietjet để có thêm kinh nghiệm khi đi máy bay nhé.

Fire Ball said...

Shop thằng ghờm chuyên cung cấp các loại đồ điện máy cũ như máy lạnh cũ giá rẻ tphcm, máy giặt nội địa nhật tphcm, tủ lạnh cũ giá rẻ. Hãy đến với chúng tôi, địa chỉ uy tín khi bạn cần mua các sản phẩm điện máy cũ tại tphcm.
Có vô số kiến thức mới lạ trong cuộc sống. Hãy cùng tổng hợp kiến thức cùng chúng tôi. Để giải đáp những câu hỏi như pm là viết tắt của từ gì, ....

Allen jeley said...

I read this article and its tell me a writer how to make a story for a book and how explain with twisting seance thanks for share it personal statement checker .

Unknown said...

Agen BandarQ


Inilah Manfaat Dan Kegunaan ID PRO Di Permainan Situs BandarQ !

Bokep Online Terbaru

Kumpulan Film Semi

Bandar Poker Terpercaya said...

The article on this site is very interesting, thank you
Selamat datang di LENOVOPOKER™ Top 1 Judi Online
Promo Terbaru LENOVOPOKER :
- Bonus New Member Depo +20%
- Bonus All Member Next Depo +5%
- Bonus All Member Refferal 30%
- Bonus All Member Rollingan 0.5%
Contact : BBM : LENOVO88
WA : +6281375260652
Agen Domino 99
Bandar Poker
Agen Ceme
Bandar Ceme
Judi Poker Terpercaya

Susan said...

There are so many fun and exciting Things to do and experiences around the world that I thought I ‘d put together a list of favorite things to do for all travelers.