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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: SilentZ who wrote (466394)	3/26/2009 6:14:23 AM
From: Road Walker	Read Replies (2) \| Respond to of 1574054

Z, Good article: "one that acknowledges that the issue is liabilities rather than assets, and that focuses on the fact that a lot of these liabilities are wholy unrelated to any economic or financial activity, and are contingent rather than actual - ie nobody loses anything if they are cancelled. If a 100:1 bet you made is cancelled, your actual loss is not 100, it is 1 - something that could be paid back to you." I've wondered about this. Why not just make CDSs illegal and cancel the lot of them? I've heard the financial gurus say CDSs have an important place in the market.... not sure that's true as we survived without them before they were invented ~10 years ago. What's amazing is that it was a really small group of people within AIG that brought this all about. This little band of thieves destroyed the world market. Who would have thunk it?