http://davisfreeberg.com/2009/02/11/the-nuclear-option/ Wed, 31 Aug 2011 01:39:44 +0000 hourly 1 http://wordpress.org/?v=3.2.1 http://davisfreeberg.com/2009/02/11/the-nuclear-option/comment-page-1/#comment-188263 Davis Sat, 14 Feb 2009 01:01:21 +0000 http://davisfreeberg.com/?p=766#comment-188263 It is even more scary when the insurance policy is ten times the value of the underlying asset. It gives people too much of an incentive to make sure something succeeds or fails. Buffet was right when he called them financial weapons of mass destruction. When they've imploded the results have been very unpredictable. It is even more scary when the insurance policy is ten times the value of the underlying asset. It gives people too much of an incentive to make sure something succeeds or fails. Buffet was right when he called them financial weapons of mass destruction. When they’ve imploded the results have been very unpredictable.

]]> http://davisfreeberg.com/2009/02/11/the-nuclear-option/comment-page-1/#comment-188260 snarkolepsy Sat, 14 Feb 2009 00:49:44 +0000 http://davisfreeberg.com/?p=766#comment-188260 With all the credit default crap, I'd forgotten about the derivative portion. I remember it making the latent conspiracy portion of my brain tingly. I'm not really that person, but when you can take an insurance policy out on something you don't even own. The mind wanders. With all the credit default crap, I’d forgotten about the derivative portion. I remember it making the latent conspiracy portion of my brain tingly. I’m not really that person, but when you can take an insurance policy out on something you don’t even own. The mind wanders.

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