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...list of people and institutions to blame for the financial crisis would include credit-rating agencies - the companies that assign letter grades to everything from General Electric's bonds to Malaysia's sovereign debt, indicating the chances that investors will lose money. The CEOs of the three largest agencies - Moody's, Standard and Poor's and Fitch - were assailed by Congress in October for the way their firms made record profits while raising few, if any, red flags about how massively risky mortgage-related securities had become...

Author: /time Magazine | Title: The SEC's Next Challenge: Fixing the Ratings Agencies | 4/15/2009 | See Source »

...what happens at the auto company sets a precedent for the next bailout of a large American non-financial company. The government has been able to stay away from completely restructuring banks by providing them with enough capital to work their way through piles of bad assets and tight credit. The process is not over. Major US banks may need tens of billions of dollars more in government assistance when the results of the "stress tests" of bank viability are finalized later this month. The Treasury may tell Bank of America (BAC) that it needs $15 billion in additional capital...

Author: /time Magazine | Title: Fixing GM May Just Be Practice for the Next Bailout | 4/14/2009 | See Source »

...trades the bank was making solely on its own. During a conference call with analysts and investors, Goldman CFO David Viniar said that most of Goldman's trading profits came from such liquid investments as Treasury bonds and not in the trickier markets for subprime mortgage bonds or credit default swaps, which can be harder to buy and sell. Goldman said it made very little money from CDS contracts it settled with AIG, but declined to comment exactly how its trading profits were generated. A Goldman spokesman said, "By putting the capital on our balance sheet to work...

Author: /time Magazine | Title: Goldman's Profits: Gambling with Taxpayer Money? | 4/14/2009 | See Source »

...Nieszporowski didn't even need postal workers for his visit: he used the Automated Postal Center (a machine that issues stamps, prints packaging labels, and only takes credit cards), which will remain open 24/7, Powers said. And if the Harvard student wants that certain human touch when sending his or her mail, Powers had advice for that as well...

Author: By Naveen N. Srivatsa | Title: Don't Go Postal | 4/14/2009 | See Source »

...excessive dependence on work is revealed by the worried speculation over how to fill time now that J-term courses are cancelled. Relying on university administration to provide fulfilling experiences suggests a feeble lack of self-sufficiency. Similarly, demands for holiday courses, even if optional and not for credit, hints at an aversion to independent thought. Even if one specifically selects a topic of personal interest, J-term courses would still feed students potential topics to consider and contentions to analyse. Why can’t students use holiday relaxation to come up with their own questions...

Author: By Olivia M. Goldhill | Title: The Silver Lining | 4/14/2009 | See Source »

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