http://www.iht.com/articles/2008/11/25/business/25sorkin.php But Geithner's involvement in several ultimately ill-fated efforts to buttress the American financial system is the very reason some Wall Street CEO's a number of whom spoke on the condition of anonymity for fear of piquing the man who regulates them question whether he's up to the challenge.
"We have only two things to say about Tim Geithner, who we do not know: AIG and Lehman Brothers," said Christopher Whalen of Institutional Risk Analytics. "Throw in the Bear Stearns/Maiden Lane fiasco for good measure," he said, referring to the site of the New York Federal Reserve, where many rescue discussions took place. "All of these 'rescues' are a disaster for the taxpayer, for the financial markets and also for the Federal Reserve System as an organization. Geithner, in our view, deserves retirement, not promotion." Ouch. "He was in the room at every turn of the crisis," said another executive who participated in several such confidential meetings with Geithner. "You can look at that both ways." On Mon, Nov 24, 2008 at 3:03 PM, Gruss Gott <[EMAIL PROTECTED]> wrote: > SPEAKING of The Economist, our official assessment of Barack Obama's > Treasury secretary nominee, New York Fed president Timothy Geithner, > is up: > > Assuming he is nominated Mr Geithner brings two crucial qualities. > First, he represents continuity. From the first days of the crisis > last year, he has worked hand in glove with Ben Bernanke, the Fed > chairman, and Mr Paulson. He can continue to do so while awaiting > confirmation. If Citigroup, for example, needs federal help, Mr > Geithner will be involved. An unknown when he joined the New York Fed > in 2003, he is now a familiar face to the most senior executives on > Wall Street and to central bankers and finance ministers overseas. > > Second, he represents competence. He has spent more time on > financial crises, from Mexico and Thailand to Brazil and Argentina, > than probably any other policymaker in office today. Mr Geithner > understands better than almost anyone that in crises you throw out the > forecast and focus on avoiding low probability events with > catastrophic consequences. Such judgments are excruciating: do too > little, and you undermine confidence and generate a bigger crisis that > needs even bigger policy action. Do too much, and you look panicked > and invite blowback from Wall Street, Congress and the press. At times > during the crisis Mr Geithner would counsel Mr Bernanke on the > importance of the right "ratio of drama to effectiveness". > > Ah, glorious, glorious competence. How we've missed you. > > http://www.economist.com/blogs/freeexchange/2008/11/meet_mr_geithner.cfm > ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Adobe® ColdFusion® 8 software 8 is the most important and dramatic release to date Get the Free Trial http://ad.doubleclick.net/clk;207172674;29440083;f Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:281459 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=11502.10531.5
