Why? According to TIME:
“Its collapse would be as close to an extinction-level event as the financial markets have seen since the Great Depression,” wrote money manager Michael Lewitt in Tuesday morning’s New York Times. There’s also the fact that through its insurance policies AIG touches far more regular Americans (and consumers around the world) than Lehman Bros. did.
It astounds me that businesses are aloud to be this toxic and get away with it. There was also this quote:
Plus, AIG’s insurance businesses make so much money that they could conceivably pay off the cost of the bailout within a few years.
What will be interesting for me is whether or not this actually happens. I suspect, instead, that the U.S. taxpayers will get stuck with the bill and then some other company will swoop in and take the assets.
Why the Government Won’t Let AIG Fail – TIME
Now, this is news to alot of us Canadians in the IT business. And to be fair to John McCain, it’s likely news to him, too. But not to his advisor, Douglas Holtz-Eakin, who perhaps got a bit too excited in his praise of his boss.
See here for more details: Adviser calls BlackBerry ‘miracle’ McCain ‘helped create’ – CNN.com
It’s all fun and games on the campaign trail. Well, not all fun and games, but this certain is.
As this Slate article puts it, All Eyes On AIG today. This article is good because it has a rundown of what all the business press is saying. Read it now and get the scoop on everyone else.
Bonus: it mentions Damien Hirst at the end! 🙂
This is funny:
No, I don’t think they are really hockey moms. In fact, it’s a great poke at the political ads that crop up like weeds on U.S. television (and now the Internet).
Whatever your thoughts on Sarah Palin, pro or con, her ability to bring juice boxes to a hockey game is not really one that should be considered in assessing her as a candidate. 🙂
(tip to andrewsullivan.com)
If you read articles in the nytimes.com, wsj.com, or other places, you will see people predicting this or that. The key thing to remember anytime you read such an article is: no one even remotely knows what will happen. What everyone — especially the man in the photo above — is trying to do is prevent the worst from happening and trying to make the most of a bad situation. That’s all you know. That’s about all they know, too.
In the meantime, read Wall St. in Worst Loss Since ’01, Despite Reassurances From Washington – NYTimes.com
It’s going to be a busy — and bad — week.
(Photo of U.S. Treasury Secretary Henry M. Paulson Jr. by Kevin Lamarque/Reuters)
I blame the nytimes.com for such good articles such as these, Damien Hirst at Sotheby’s – Thinking Outside the Dealer.
It had this nugget in it:
“This isn’t Mr. Hirst’s first foray into the auction business. A charity sale of works by 100 artists that he and Bono organized at Sotheby’s in New York in February raised $42 million for AIDS relief in Africa.”
Hirst goes big regardless of what he is doing. Good for him.