Tuesday, July 14, 2009


There are known knowns. There are things we know that we know. There are known unknowns. That is to say, there are things that we now know we don’t know. But there are also unknown unknowns. There are things we do not know we don’t know.
Donald Rumsfeld

Known knowns:

40 years ago America's great triumph was winning the race to the moon.

"That's one small step for man; one giant leap for mankind."
Buzz Aldrin

In July 2009, having earned $3.44 billion in the second quarter, Goldman Sachs announced that it would be setting aside a compensation pool of $11.36 billion for the first half of 2009, or nearly $400,000 each, on average, for its roughly 29,400 employees and temporary workers.

That's one more giant step for Wall Street's favorite corporate welfare queen.

Known Unknowns:

How is it that a firm that is one of the primary causes of the financial meltdown and was one of the biggest beneficiaries of Hanks's bailout at the AIG Corral, has been allowed to let its appetite for trading risk continue to run wild so that it is now in a position to handsomely reward all of the jerks who are responsible for untold American misery?

Unknown unknowns:

“Our model really never changed, we’ve said very consistently that our business model remained the same.”
Goldman Sachs

Do the words "moral hazard" mean anything in today's world of corporate welfare?

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