Monday, July 14, 2008

Two To Tango

http://www.nytimes.com/2008/07/14/washington/14guarantee.html?_r=1&hp&oref=slogin

http://www.ft.com/cms/s/0/d4794e4e-50fe-11dd-b751-000077b07658.html

Yet here, in the aftermath of a financial crisis brought on by what were once called American virtues — financial engineering and risk management — Washington may bail out Fannie and Freddie for the simple reason that they are too big to fail. If they go down, so do whole neighborhoods. So, perhaps, does the global financial system.

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