is there any way they could split off the insurance division (which they want to save to protect policy holders) from the financial products division (the black hole)?
Bernanke rips AIG - says nothing makes him angrier
- Thread starter ASusilovic
- Start date
Quote from ASusilovic:
Federal Reserve Board chairman Ben Bernanke ripped into the American International Group Inc, saying that nothing makes him angrier in the current financial crisis than the way the firm operated and the bailout that followed. Bernanke said that AIG operated a hedge fund on top of an insurance company, taking advantage of regulatory gaps, he said. The government has poured $163 billion into the firm. Bernanke said the government had no choice and had to rescue AIG. AIG's failure would have hammered the bank system and sent out "shockwaves" through the insurance system.
Yeah, every (thing) is a "hedge"fund nowadays
Yeah right, he means AIG's failure would have hammered GOldmans. They had the biggest exposure to AIG and would have collapsed had AIG gone bust.
Federal investigation is needed to enquire whether the losses due to that implicit hedge fund is subject to conspiracy or not.
Quote from ASusilovic:
Bernanke said that AIG operated a hedge fund on top of an insurance company, taking advantage of regulatory gaps (my team weakness)
Maybe things could be worse but THERE WILL NEVER BE ANY TRUST IN THE FED AFTER THIS BUDDY SYSTEM WAS EXPOSED! I always thought the LTCM bailout was a joke because at the time there were no other companies going broke. The AIG and Citibank bailouts are almost criminal. Lets give a company that is worth nothing money so they can go charge tax payers 25% interest on CC. What business colleges do they teach this type of BS at? So much for ethics.
"Right now, small businesses across the country, who played by the rules, paid their bills on time, can't get a line of credit, while AIG seems to have an open spigot for taxpayer money," said Senator Ron Wyden, a Democrat. What a bunch of crooks.
Quote from ASusilovic:
Federal Reserve Board chairman Ben Bernanke ripped into the American International Group Inc, saying that nothing makes him angrier in the current financial crisis than the way the firm operated and the bailout that followed. Bernanke said that AIG operated a hedge fund on top of an insurance company, taking advantage of regulatory gaps, he said. The government has poured $163 billion into the firm. Bernanke said the government had no choice and had to rescue AIG. AIG's failure would have hammered the bank system and sent out "shockwaves" through the insurance system.
Yeah, every (thing) is a "hedge"fund nowadays
bernanke and his buddy greenspan are more responsible for this mess than anyone
Totally WRONG. Who decided to consume, consume, consume, buy, buy, buy all on credit? Answer: the people. Did bernanke, bush or greenie put a gun to all these greedy, empty heads with words: "consume or we'll kill you"? No.
The people are responsible and the people will have to repay these debts (in one form or the other) to balance the whole system. And of course the wealth has not been destroyed. It is only transfered from less intelligent to more intelligent. As always.
Bull fucking shit - greenspan fueled a fire where nobody could escape. Even if you never touched debt, and saved, your savings are confiscated to bail out this BULLSHIT
http://www.usatoday.com/money/economy/fed/2004-02-23-greenspan-debt_x.htm
Posted 2/23/2004 11:39 AM Updated 2/24/2004 2:13 AM
Greenspan says ARMs might be better deal
By Sue Kirchhoff and Barbara Hagenbaugh, USA TODAY
WASHINGTON â Federal Reserve Chairman Alan Greenspan said Monday that Americans' preference for long-term, fixed-rate mortgages means many are paying more than necessary for their homes and suggested consumers would benefit if lenders offered more alternatives.
"It is only transfered from less intelligent to more intelligent. As always"
that's your explaination for my tax dollars bailing out AIG?
you're slime
In fact it's the other way 'round - voters have consistently and vehemently rejected every major political candidate who dared speak reality about fiscal responsibility.
Voters clearly have enormous culpability in this mess, as well as in the half-hearted efforts to deal with it reasonably.