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"The idea that you had to come to some unified settlement with all of the banks was ridiculous," says Thomas Adams, a lawyer at Paykin Krieg and Adams, LLP, and a former managing director at bond insurer FGIC. "But that seems to be the working logic at the Federal Reserve...

Author: /time Magazine | Title: Could the U.S. Have Saved Billions on AIG Rescue? | 1/27/2010 | See Source »

What's more, the deals the banks wanted to strike with AIG would have involved the insurer and the government giving up their right to reclaim the underlying bonds. Some have argued that would have led to a worse deal for AIG. Instead, the Federal Reserve decided to give AIG...

Author: /time Magazine | Title: Could the U.S. Have Saved Billions on AIG Rescue? | 1/27/2010 | See Source »

But it's still questionable that the Federal Reserve saved taxpayers money by paying off Goldman and others in exchange for the bonds. The government gave AIG $29.6 billion to pay off the rest of its CDS contracts, acquiring the bonds in the process. Those bonds are now worth $23.5...

Author: /time Magazine | Title: Could the U.S. Have Saved Billions on AIG Rescue? | 1/27/2010 | See Source »

As Federal Reserve Chairman Ben S. Bernanke ’75 faces a challenging reconfirmation battle in the U.S. Senate, he has garnered lukewarm support from some Harvard economists.

Author: By Gautam S. Kumar and Julia L Ryan, CRIMSON STAFF WRITERS | Title: Econ Profs Split on Bernanke ’75 | 1/27/2010 | See Source »

It has grown increasingly unclear in the past week whether Bernanke—whose term as Federal Reserve chairman expires Sunday—can garner the needed 60 votes in the Senate to be reconfirmed.

Author: By Gautam S. Kumar and Julia L Ryan, CRIMSON STAFF WRITERS | Title: Econ Profs Split on Bernanke ’75 | 1/27/2010 | See Source »

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