Wednesday, September 24, 2008


Bringing Down Wall Street as Ratings Let Loose Subprime Scourge
``I view the ratings agencies as one of the key culprits,'' says Joseph Stiglitz, 65, the Nobel laureate economist at Columbia University in New York. ``They were the party that performed that alchemy that converted the securities from F- rated to A-rated. The banks could not have done what they did without the complicity of the ratings agencies.''

1 comment:

Anonymous said...

"I would doubt very much that any events of any one day will permanently change the franchise value of Moody's.--Warren Buffet, referring to the $250 million drop in value of his 19.6% stake in Moody's on May 20-21, 2008.

Mr. Stiglitz has put the real "franchise value" to Moody's...and perhaps to The Oracle, who would appear to have no clothes these days to any acolytes who are looking closely.

So the Orc bought Goldman because he was relying on the TARP bailout. What a patriot. Does he want his money back now?