The book Dumb Money, written by Daniel Gross describes the era of “Dumb Money” and even “Dumber Money” causing the credit bubble that occurred prior to the 2008 financial crisis. Gross explains that it wasn’t “skeezy money managers” that caused the recent financial tsunami, but rather Ph.D. economists, central bankers, CEO’s and investment bankers. Gross reveals that the four factors that precipitated the Dumb Money era were low decreasing interest rates, increasing asset prices (real estate in particular), plentiful borrowers, and a strong debt market. He explains that due to the “shadow banking system” American financial culture was too fixated on short-term gains rather than long-term gains and encouraged excessive borrowing, lending, and trading. Gross criticizes
While the Winklevoss twins originated the idea and had begun executing it, they had taken no steps to protect their intellectual property and had no formal arrangement with Zuckerberg. It is likely that they made several missteps that led to the loss of billions of dollars. The first misstep was their assumption that their idea would be protected from theft. Their second misstep was not taking action to protect their idea, which led to the false assumption about Zuckerberg. For his part, Zuckerberg conducted himself with weak moral standing, having stolen a valuable idea and taken steps to register and launch it without stating his position to the Winklevosses.
Greenwich did not do any “due diligence” which is the reason for getting sued because they did not check and that’s how Madoff was able to get away with the scheme. Greenwich should have seen that he was using his own money while he was pocketing the money from investors and they could have stopped him. 8. The SEC did not act upon the information by Markopolos because Madoff had a good reputation at the SEC and had many connections with the people within the SEC, so they didn’t even bother conducting an investigation. 9.
Leonard Birts ENF 234 Computers in Law Enforcement October 30, 2011 The growing danger from crimes committed against computers, or against information on computers, is beginning to claim attention all around the world. This lack of legal protection means that businesses and governments must rely solely on technical measures to protect themselves from those who would steal, deny access to, or destroy valuable information. Self-protection, while essential, is not sufficient to make cyberspace a safe place to conduct business. Countries where legal protections are inadequate will become increasingly less able to compete in the new economy. As cybercrime increasingly breaches national borders, nations perceived as havens run the risk of having
The blogs he wrote made people lose a lot of money. He may not know what means to manipulate the stock market since he was too young. the S.E.C suited him for stock graud('33-7891") because the S.E.C stood in the side of law, which means there was no exceptions no matter age, sex or race. Also, his father supported him while he was breaking the law. He lied, made people lost money and even made chaos in stock market.
For example, $15 billion was given to companies to offset losses. The rich, those making $250,000 or more, should not have tax incentives because they already have enough money. The rich can afford to pay more due to having more. It is the middle class and the poor who struggle in this economy and not the rich, according to this argument. Although it is the rich who employ the middle class and the poor, the rich are also accused of holding on to their money and not spending it while those with less money would be required to spend their money due to their intense need
I felt that the article was very unjust and it felt like he really had no clue to what really goes on in school. For example he states in his article that “Consider the schools. They receive more than $40 billion a year in federal aid. Despite the aid — and all the federal mandates that go with it — average school test scores have been essentially flat for decades. Federal intervention has failed to improve scores in part because the top-down rules that come with aid have squelched local innovation.” This statement is utterly false.
The problem with this was that the allies had slow growing post war economies, this meant that they had little money to repay their war debts with and many of the nations disagreed that they should have to repay the loan at all, as the war had been in everybody’s interest and the money they had spent had helped the united states to prosper. The two ways that the allies could repay the US were with Gold reserves or with increased exports to America. Neither of these were appropriate, the allies needed gold reserves to support their faltering currencies and they were unable to build up a trade surplus with the states because of their extensive protectionism measures including the … tariff. The main problem, that countries, such as the UK, had, stemmed from re-joining the gold standard. This was a way of doing international trade and was an early exchange rate system, it used gold as a bases to convert currency and later included strong currencies such as the pound and the dollar.
The Illegal, The Bad, and The Ugly ENC 1101 Professor Robin Rodgers October 26th 2011 Do American citizens ever think about how they pay for stuff that they never actually get to use or see? Do they ever have thoughts about unconsciously paying for someone to stay in our country illegally? Most likely we Americans don't even stop to think about these sorts of things and yet over 113 billion dollars of our citizens hard earned money is paying for illegal immigrants to be in our country. Illegal immigrants are a threat to America's economy in many different aspects. Anyone has a chance of becoming a citizen but not everyone is willing to.
Many eccentric millionaires, such as athletes, or movie stars, earn more than they can spend. And as a result, they have lumps of cash sitting in banks, earning a measly interest rate from the bank. I’m not an expert on revenue distribution, but here is a generic example of a simple wealth cap: there is a billionaire with 100 million dollars cash in the bank excluding investments, holdings, bonds, etc. He/she is not doing anything with that money, and as a result, he/she would be required to invest 28% (28 million) into starting a small business, or expanding an already existing