Click here for hair loss products
Very Scary Things |
| Published: August 12, 2007, 6:12 pm |
| Tags: housing bubble, krugman paul, times select |
|
By PAUL KRUGMAN Published: August 10, 2007 In September 1998, the collapse of Long Term Capital Management, a giant hedge fund, led to a meltdown in the financial markets similar, in some ways, to what's happening now. During the crisis in '98, I attended a closed-door briefing given by a senior Federal Reserve official, who laid out the grim state of the markets. What can we do about it? asked one participant. Pray, replied the Fed official.Our prayers were answered. The Fed coordinated a rescue for L.T.C.M., while Robert Rubin, the Treasury secretary at the time, and Alan Greenspan, who was the Fed chairman, assured investors that everything would be all right. And the panic subsided.Yesterday, President Bush, showing off his M.B.A. vocabulary, similarly tried to reassure the markets. But Mr. Bush is, let's say, a bit lacking in credibility. On the other hand, it's not clear that anyone could do the trick: right now we're suffering from a serious [ Full article ] |
 Blog link
Rating: 0 
|
No Comments...