Comments on: Conspiracies Confirmed http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html Overcoming Bias is economist Robin Hanson’s blog, on honesty, signaling, disagreement, forecasting, and the far future. Sun, 12 Feb 2012 01:09:57 +0000 hourly 1 http://wordpress.org/?v=3.1.3 By: Cody Custis http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436867 Cody Custis Fri, 27 Nov 2009 16:53:29 +0000 http://www.overcomingbias.com/?p=20543#comment-436867 Russ Roberts and Paul Krugman have both posted editorials criticizing Goldman Sachs. In fact, I'll just post two quotes, one from each author, and encourage readers to guess who said what. "The cronies in crony capitalism are the creditors and the people who make money along the way borrowing the money. That includes Bear and Lehman execs and Goldman execs and many more." "Goldman has made a lot of money in its trading operations, but it was only able to stay in that game thanks to policies that put vast amounts of public money at risk, from the bailout of A.I.G. to the guarantees extended to many of Goldman’s bonds. " Anytime Russ Roberts and Paul Krugman agree that a government action is bad, it must be really, really, bad. Russ Roberts and Paul Krugman have both posted editorials criticizing Goldman Sachs. In fact, I’ll just post two quotes, one from each author, and encourage readers to guess who said what.

“The cronies in crony capitalism are the creditors and the people who make money along the way borrowing the money. That includes Bear and Lehman execs and Goldman execs and many more.”

“Goldman has made a lot of money in its trading operations, but it was only able to stay in that game thanks to policies that put vast amounts of public money at risk, from the bailout of A.I.G. to the guarantees extended to many of Goldman’s bonds. ”

Anytime Russ Roberts and Paul Krugman agree that a government action is bad, it must be really, really, bad.

]]> By: TGGP http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436849 TGGP Fri, 27 Nov 2009 03:57:16 +0000 http://www.overcomingbias.com/?p=20543#comment-436849 They did give money to some Republicans, and so we can say to some extent they like them. They gave even more money to Democrats (perhaps they figured it was a Dem year, so best to donate to them, perhaps they're just concentrated in "blue states"). I don't think being in the pocket of Wall Street would make a Republican immune from attacks from Democrats and I don't think being in the pocket of Wall Street would immunize a Democrat against Republican attacks. There is no reason to conclude that based on Republican attacks on Geithner he cannot be in the pocket of Wall Street. It would seem more sensible to conclude that Democrats and Republicans will attack each other no matter what, decrying policies/actions they supported when the shoe was on the other foot. They did give money to some Republicans, and so we can say to some extent they like them. They gave even more money to Democrats (perhaps they figured it was a Dem year, so best to donate to them, perhaps they’re just concentrated in “blue states”). I don’t think being in the pocket of Wall Street would make a Republican immune from attacks from Democrats and I don’t think being in the pocket of Wall Street would immunize a Democrat against Republican attacks. There is no reason to conclude that based on Republican attacks on Geithner he cannot be in the pocket of Wall Street. It would seem more sensible to conclude that Democrats and Republicans will attack each other no matter what, decrying policies/actions they supported when the shoe was on the other foot.

]]> By: Bill http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436843 Bill Fri, 27 Nov 2009 02:39:37 +0000 http://www.overcomingbias.com/?p=20543#comment-436843 By transitivity, if Paulson is not different then Geithner, and Paulson is a Republican, then what you said about the financial sector liking democrats means they like Republicans. By transitivity, if Paulson is not different then Geithner, and Paulson is a Republican, then what you said about the financial sector liking democrats means they like Republicans.

]]> By: TGGP http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436835 TGGP Thu, 26 Nov 2009 21:47:08 +0000 http://www.overcomingbias.com/?p=20543#comment-436835 I have not read Too Big to Fail but I am aware of Paulson. He does not seem that different to me from Geithner. I have not read Too Big to Fail but I am aware of Paulson. He does not seem that different to me from Geithner.

]]> By: Thursday http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436831 Thursday Thu, 26 Nov 2009 18:18:36 +0000 http://www.overcomingbias.com/?p=20543#comment-436831 I had some earlier thoughts on conspiracies here: http://manwhoisthursday.blogspot.com/2008/02/steve-sailer-rule-of-conspiracies.html I had some earlier thoughts on conspiracies here:
http://manwhoisthursday.blogspot.com/2008/02/steve-sailer-rule-of-conspiracies.html

]]> By: Bill http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436812 Bill Thu, 26 Nov 2009 03:31:18 +0000 http://www.overcomingbias.com/?p=20543#comment-436812 Ever heard of Paulson? Ever read Too Big to Fail? Ever heard of Paulson? Ever read Too Big to Fail?

]]> By: TGGP http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436810 TGGP Thu, 26 Nov 2009 03:02:37 +0000 http://www.overcomingbias.com/?p=20543#comment-436810 I don't get your point about the Republican party. The financial sector (Goldman Sachs in particular) donated more to Obama & the Dems than McCain & the GOP last election. Michael Milken and Martha Stewart are both Democrats (and no, they're not former Republicans mugged by the justice system). I don't take that to mean that Wall Street is tight with Dems, just that one's relationship with it has little to do with how the GOP acts toward you. I don’t get your point about the Republican party. The financial sector (Goldman Sachs in particular) donated more to Obama & the Dems than McCain & the GOP last election. Michael Milken and Martha Stewart are both Democrats (and no, they’re not former Republicans mugged by the justice system). I don’t take that to mean that Wall Street is tight with Dems, just that one’s relationship with it has little to do with how the GOP acts toward you.

]]> By: anon2 http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436809 anon2 Thu, 26 Nov 2009 02:55:21 +0000 http://www.overcomingbias.com/?p=20543#comment-436809 Goldman Sachs was just about the only investment bank which had the good sense of betting against the financial/real estate bubble once the evidence for its bubblicious character had become overwhelming. So the first 'conspiracy theory' is quite right, but it's also not really surprising that GS would have a lot of market power and political influence right now. Goldman Sachs was just about the only investment bank which had the good sense of betting against the financial/real estate bubble once the evidence for its bubblicious character had become overwhelming. So the first ‘conspiracy theory’ is quite right, but it’s also not really surprising that GS would have a lot of market power and political influence right now.

]]> By: Bill http://www.overcomingbias.com/2009/11/conspiracies-confirmed.html#comment-436806 Bill Thu, 26 Nov 2009 02:05:45 +0000 http://www.overcomingbias.com/?p=20543#comment-436806 If Geithner were in the pocket of Wall Street, the Republican party would not be after him. Counterfactually, I like it when people say that he is in the pocket of Wall Street, because that will make him more sensitive. And, frankly, to show he wasn't in their pocket he did not do what they wanted in February--buy bad assets willy, nilly ala Resolution Trust Corp--but rather strung it out with the Pipp. We would have really transferred a lot of money to banks if we had done otherwise in February. If Geithner were in the pocket of Wall Street, the Republican party would not be after him. Counterfactually, I like it when people say that he is in the pocket of Wall Street, because that will make him more sensitive. And, frankly, to show he wasn’t in their pocket he did not do what they wanted in February–buy bad assets willy, nilly ala Resolution Trust Corp–but rather strung it out with the Pipp. We would have really transferred a lot of money to banks if we had done otherwise in February.

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