Items of Interest:
Yellen Signals Letting Lehman Collapse Was a Mistake -- Federal Reserve Bank of San Francisco President Janet Yellen signaled that it was a mistake to allow Lehman Brothers Holdings Inc. to collapse, saying the firm was “too big to fail” and its bankruptcy caused a “quantum” jump in the magnitude of the financial crisis.
“I am told that Lehman had insufficient collateral” for the Fed to provide loans, Yellen said after a speech in New York yesterday. She noted that she was “sitting in California” at the time of the Fed deliberations and “wasn’t involved in anything having to do with it.”
Yellen’s remarks are the strongest to date by a Fed official blaming the Lehman failure for a worsening in the crisis. She echoed calls by Chairman Ben S. Bernanke for new powers for federal authorities to take over and resolve failing nonbank financial firms...
Bernanke Says Crisis Damage Likely to Be Long-Lasting -- Federal Reserve Chairman Ben S. Bernanke said the collapse of U.S. lending will probably cause “long-lasting” damage to home prices, household wealth and borrowers’ credit scores...
GM to convert $48B debt to equity -- The Obama administration has directed General Motors Corp to prepare a new debt restructuring plan that would convert all of the $48 billion the automaker owes bondholders and its major union into equity, people briefed on the plan said Friday.
James Joyner / Outside The Beltway: Rich People Have Lots of Money
Free exchange: Long live American materialismJoshua Claybourn / In The Agora: Goodbye Bland AffluenceRobert Stein / Connecting.the.Dots: Authenticity Chic — Trend watchers are celebrating …
- The Tea Parties Are Extraordinary - Editorial, Investor's Business Daily
- Tax Fantasies of the Right and Left - Steven Pearlstein, Washington Post
- Looking at Today's Tax Rates Versus the Past - Bruce Bartlett, Forbes
- Obama's Vow To Simplify Tax Code Will Be Stymied - Editorial, LA Times
- Probe Yourselves - Editorial, Investor's Business Daily
- Geithner’s Biggest Problem Is Dollar, Not China - William Pesek, Bloomberg
- Deception? Dawn? Or Take A Longer View? - Peter Brimelow, MarketWatch
- A Return of the Money Snatchers? - Richard Rahn, Washington Times
- Cantor Fitzgerald, Victim of 9/11, Thrives in Recession - S. Gandel, Time
- Did Greenspan Cause The Housing Bubble? - Hummel & Henderson, Forbes
- Who Should ‘Go First’ on Greenhouse Gas Control? - Kenneth Green, AEI
- No Party For Citi's Owners: You & Me - Colin Barr, Fortune
- Hey, Economic Geniuses! What Happened? - Peter Coy, Business Week
- Inflation Doves Put Faith In Output-Gap - Caroline Baum, Bloomberg
- Europe Is No Model for Our Banks - David Smick, Wall Street Journal
- Big Banks Aren't Necessarily Better - Irwin Stelzer, Weekly Standard
- Payback Time? The Banking System Is Not In the Clear - The Economist
- Dimming the Aura of Goldman Sachs - Floyd Norris, New York Times
- Goldman Is Well Placed to Dominate - Matthew Syed, Times of London
- There's No Recovery In Government Solutions - Quin Hillyer, Spectator
- YouTubing Rubin, The Economic Godfather - Daryl Jones, Research Edge
- Don’t Let Jon Stewart Pigeonhole Me…Or You - C. Willard, The Cody Word
- There Are 8,000 Banks & They're All Different - Tom Brown, Bankstocks
- The Other Reason Consumers Have Stopped Spending - Flow Chart