http://www.minyanville.com/articles/GS-Paulson-db-aig-bailout-cdo/index/a/21677/from/yahoo
Let's just reflect on this for a moment: Our government has determined, with no vote or discussion, that certain firms needed to be saved. After all, if AIG couldn't make do on its CDO obligations, Goldman would suffer. And why should Goldman suffer, if it were properly hedged?
The reality, of course, is that Goldman wasn't properly hedged. In a truly free market, Goldman would have a tombstone right next to lesser firms like Bear Stearns and Lehman Brothers.
