Quote:
Originally Posted by finnbow
Actually, you're right with regard to my gratuitous Wall St. bashing. It's just so easy and fun, even if it is sometimes not fully justified.
With regard to the article's bemoaning that the states are only getting 30-40 cents on a dollar seems to show the author doesn't know a lot about compound interest. To wit, this passage puzzled me a bit.
Many states receive only 30 or 40 cents on the dollar. In a typical example, Wisconsin would have been entitled to about $5 billion in payments through 2025. Instead, it settled on one payment of $1.6 billion in 2001.
Did somebody expect Wall St. to lend Wisconsin $5 billion over 25 years with no interest?
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You're correct, much like H&R Block fronting people their tax refunds for a fee.
I would imagine that even Wall Street treats the government better than H&R does it's clients...for one, they're not dealing with a bunch of cretins.
And then you have to calculate in inflation and uncertainty.
Now the old man who used to own the local lumber yard always claimed that the 8th Wonder of the World was compound interest.
If he were alive today, he would probably call the 9th Wonder Keynesian Economics.
God, I hope they can figure out a way to keep the music playing...did I just say I'm in favor of Cap and Trade???
If so, it's the fukkin you get for the fukkin you got.
Chas