Did we *really* need that bail-out?
10th September 2008
Tyler Cowan seems to think that we did.
(As a general tendency I find that economists vastly underrate the importance of accounting as an economic force. I might add that many market advocates are unaware of how quickly liquidity can vanish in these markets; just look at auction-rate securities.)
How many phone calls do you think Hank Paulson has received from the Chinese central bank since August 2007?