April 17, 2009
I really enjoyed a new post from Rortybomb that includes a great distillation of the mark to market debate: So in the early 1990s, when I was in Junior High, there was a craze about collecting and trading baseball cards. Our classroom would have a corner during lunch where we’d all compare, with our binders [...]
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March 24, 2009
George Soros has written an opinion in today's WSJ calling for the regulation - and elimination - of CDS. He notes that CDS are instruments which allow speculation on default: What makes [CDS] toxic is that such speculation can be self-validating. I find his nature-of-the-security argument severely lacking: The negative effect is reinforced by the [...]
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