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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?


To: Jess Beltz who wrote (41384)12/29/1998 6:30:00 PM
From: accountclosed  Read Replies (1) | Respond to of 132070
 
Jess, lots of the loans to LTCM were unsecured loans. Banks make unsecured loans all the time. How would you propose to seal off all avenues of unsecured loans getting into derivatives?

As long as banks can make large unsecured loans, their customers can do all sorts of stupid things and not repay the loans.



To: Jess Beltz who wrote (41384)12/29/1998 9:53:00 PM
From: Merritt  Respond to of 132070
 
JB:

Legislation=Lawyers=obfuscation...not cure.
Since I'm not a psychiatrist, I can't presume to offer a solution.
I guess that tells you where I think the problem lies.