tag:blogger.com,1999:blog-862751130582500985.post7269856989786169823..comments2023-05-20T02:59:34.668-05:00Comments on No, You're Hyperbolic: Roubini was rightjumcohttp://www.blogger.com/profile/15753433888238396781noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-862751130582500985.post-13569138140906115142008-10-07T17:39:00.000-05:002008-10-07T17:39:00.000-05:00>>>" . . .if they don't have the...>>>" . . .if they don't have the money themselves they themselves may collapse."<<<<BR/><BR/>That's the issue. Various assets are so devalued that many lenders either cannot meet their capital requirements or will have balance sheets that show insolvency unless the cash is hoarded. None are worried that GE will default, at least that was true until perhaps Pericleshttps://www.blogger.com/profile/06945738688567266186noreply@blogger.comtag:blogger.com,1999:blog-862751130582500985.post-23292569366882061152008-10-07T14:11:00.000-05:002008-10-07T14:11:00.000-05:00according to Roubini..."Goldman Sachs, Morgan Stan...according to Roubini...<BR/>"Goldman Sachs, Morgan Stanley, the other primary dealers and the banks that have access to the TSLF and PDCF (and discount window) have massively used these facilities in the last few weeks; but they are <B>hoarding such liquidity and not relending it to other banks, to the thousands of the other members of the shadow banking system and to the corporate sector as theyArielhttps://www.blogger.com/profile/11269232626785115413noreply@blogger.comtag:blogger.com,1999:blog-862751130582500985.post-62432423421049183782008-10-07T13:49:00.000-05:002008-10-07T13:49:00.000-05:00I don't understand why the "credit crunch". Is th...I don't understand why the "credit crunch". Is there a lack of money to lend? Or does some bank think that GE will default? Some other explanation?Nykilshttps://www.blogger.com/profile/17684639614717035794noreply@blogger.com