It’s a lot like buying life insurance on someone and then killing them.
That’s what’s happening in Greece where companies such as Goldman Sachs — after having helped the country hide the true size of its debt — have been using a financial tool to bet the country would default on that debt.
Last week, German Chancellor Angela Merkel said: ““It’s a scandal if it turned out that the same banks that brought us to the brink of the abyss helped Greece fake the statistics.”
It’s something that Fed Chairman Ben Bernanke said this morning would be investigated.
While many — including TrueSlant colleague Matt Taibbi — have argued that even after helping bring the global economy to the brink, companies like Goldman still don’t get it, there are those who are saying it’s wrong to point the finger at Goldman.
Writing for Business Week, Mark Gilbert starts off by saying: “For once, the whipping boys and girls of finance are innocent.”
“Chastising Goldman Sachs for flexing its muscles on behalf of customers is akin to slapping a kitten for its adventures with a ball of wool…”
“Or admonishing a killer whale for playing with its lunch by tossing a baby seal in the air before ingesting the pup.”
Wow (and really maybe not the best analogy given what happened in Florida yesterday — which actually took place more than five hours before Gilbert’s story was posted so there’s really no excuse for that having found its way online).
Yeah… I’m thinking some still just don’t get it and there’s a real danger this Greece fire may quickly spread from the kitchen.