bankers are pushing boundaries, asking the raters to help them play the highly cynical hot-potato game, in which bad loans are originated en masse and then instantly passed off to suckers who will take on all the risk. "Bankers say why not originate bad loans, there is no penalty," the executive muses.
I mean for the individual investor, you rely on bond ratings because what else are you going to do? A large bank making billion dollar investments into such bonds should do its own analysis. It seems absolutely incredible that Goldman Sachs takes Standard and Poor's ratings at face value and never did any of their own analysis. But it's a nice story and a way to deflect responsibility.
but Matt Taibbi can pretty reliably pull out a bunch of anything from the masses who emails and other "damning documents" to create the "analysis" he regularly regurgitates into Rolling Stone. For example.
And, to be perfectly honest, some of this is my own fault, since there is indeed a factual error in the piece — a minor biographical detail that identifies Bob Rubin’s son Jamie as a former Clinton diplomat. There is in fact a James Rubin who was a diplomat in the Clinton White House, but that James Rubin is not the James Rubin I’m referring to in the piece.
So I fucked up with that line — “a former Clinton diplomat” — and for that I certainly am sorry, among other things because Rolling Stone’s fact-checkers are the most rigorous in the business (much more so than any other newspaper or magazine I’ve worked for) and I think actually this was my error and not theirs, a late-stage mixup near press time.
Now, that said, it was indeed Bob Rubin’s son Jamie who worked with Michael Froman in the Obama transition team. Had it not been Bob Rubin’s son, that would certainly have qualified as a serious error, because then we’d be making an argument based upon a factual error.
But the basic argument of the article was that an enormous number of people with ties to Bob Rubin and/or other Wall Street insiders had assumed positions of responsibility in the Obama transition and White House. And Jamie Rubin is Bob Rubin’s son, and he was a headhunter for Obama’s economic hires from the first days of the transition. So the meaning here is really not significantly different. The fact that this heads the Prospect’s list of complaints says a lot about the substance of this criticism. ...
I didn't see a goddamn citation in the RS piece. Hype sells though.
Thanks delmoi. Pretty telling that you rely on Matt Taibbi to edumacate yourself about "how the world works."
« Older Having Daughters Rather Than Sons Makes You More L... | Graham Hastings, Alloysious Ma... Newer »
This thread has been archived and is closed to new comments
Buy a Shirt