Loving the Swindle

Arbitrage is what the Masters of the Universe think they know how to do, and Geithner's subsidies give them a big opportunity. Tyler Cowen notices what Hilzoy noticed the other day, and puts in some more detail. The scope for cheating could be enormous, and by his calculation, half a trillion dollars could be at stake.

With that big an incentive to swindle, does anybody think Wall Street won't be able to figure out how to do it, regardless of the precautions taken? No wonder the market loved Timmy's plan.

Way past time for the Timolator to go. Maybe he and Larry can get a shout show on CNFox or something.

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