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...Victoria Ivashina, wrote a paper called "Bank Lending During the Financial Crisis of 2008." Scharfstein and Ivashina focused in on a database of new loans made to large corporations and documented a 36% drop during August-October 2008, as compared with the three months prior. They, too, argued that drawn-downs were artificially inflating overall lending figures. Yes, there was lending, but it was involuntary, and often to struggling companies - like GM and Tribune - that banks might not otherwise give money to. "If credit lines get drawn down by the most vulnerable individuals and companies, that's potentially destabilizing," says...

Author: /time Magazine | Title: Is There Really a Credit Crunch? | 12/24/2008 | See Source »

Then in a separate group, subjects were asked to draw circles to represent the softness of each towel - the softer the towel, the larger the circle. After estimating the area of each circle they'd drawn, those people were then given a choice between towels, and 83% picked A, 26 percentage points higher than the control group. By assigning a number to their own experiences, "they changed their decisions," says Hsee. It's not hard to imagine using a product, talking about it on a web site for other consumers, and, in the process, upping your own chances of buying...

Author: /time Magazine | Title: Swaying Shoppers: The Power of Product Specs | 12/22/2008 | See Source »

...Unsurprisingly, El Gordo (literally, "the fat one") has drawn its fair share of scams; in some years bogus letters were sent out telling recipients that they have won a large sum of money in the Christmas drawing but would have to keep the prize confidential and pay fees and taxes before claiming the cash...

Author: /time Magazine | Title: The World's Biggest Lottery | 12/22/2008 | See Source »

...with the curious name of George de Mohrenschildt; in later years, Bush and De Mohrenschildt fraternized in Dallas. In 1962, De Mohrenschildt also befriended a troubled young man named Lee Harvey Oswald. It's just one of dozens of connections that the prodigiously industrious investigative journalist Russ Baker has drawn between President No. 41 and the assassination of President No. 35. He also connects the dots between the Bushes and Watergate, which he farfetchedly describes not as a ham-handed act of political espionage but as a carefully orchestrated farce designed to take down President Richard Nixon. It's common...

Author: /time Magazine | Title: Family of Secrets | 12/17/2008 | See Source »

...year has nearly drawn to a close, and what a year it has been. It was the year of “hope” and “change,” but also the year that “sub-prime mortgage” replaced “WMD” in the American lexicon. Recent history has been particularly depressing: Between Blagojevich and billion dollar bailouts, there has been little to be pleased about this past month. I still smile whenever I hear about the Somali pirates, but I have a feeling that even this may grow...

Author: By Rajarshi Banerjee | Title: A Wishlist for ‘09 | 12/15/2008 | See Source »

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