Why I'll be dreaming of the 700 billion figure tonight....

[slipslidingaway]

I wonder how Paulson arrived at the 700 billion number, interesting sentence below and surely just a coincidence.

:shrug:

http://contraryinvestor.com/2008archives/momar08.htm

Fourth paragraph from the bottom

"...Trajectory, growth, rhythm and magnitude of global credit derivatives expansion is quite like the character we observed above for the US banking system proper. In three short years, global CDS exposure has increased roughly nine-fold. We're talking about close to $45 trillion of credit derivatives on a notional basis. The BIS kindly estimates a gross cash market value for this exposure at $700 billion..."


Jumped out at me when looking for information for this thread.

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=389&topic_id=4055053&mesg_id=4055053

[RUMMYisFROSTED]

1. The figure is $700B because...

...even the American electorate would balk at $3T.

Which'll be getting off easy.

[slipslidingaway]

3. But I'm curious as to where they pulled the number from, I agree

that it will be more than 700 billion.

[RUMMYisFROSTED]

4. A number large enough, yet small enough.

I'm sure it's really that simple.

[slipslidingaway]

7. Imagine saying...

"yet small enough."

Already seems like funny money to me.

;-)

[Eric J in MN]

2. Bush officials now want even MORE

=========================
The U.S. Treasury submitted revised guidance to Congress on its plan a day after first submitting it, as lawmakers and lobbyists push their own ideas. Officials now propose buying what they term troubled assets, without specifying the type, according to a document obtained by Bloomberg News and confirmed by a congressional aide.

The change suggests the inclusion of instruments such as car and student loans, credit-card debt and any other troubled asset. That may force an eventual increase in the size of the package as Democrats and Republicans in Congress negotiate the final legislation with the Bush administration, analysts said.

http://www.eschatonblog.com/2008_09_21_archive.html#7194115400645797733
=========================

[RUMMYisFROSTED]

5. "One hundred thousand million kabillion...

...if we don't get our way!"

[slipslidingaway]

6. This is just crazy, thanks n/t

[slipslidingaway]

8. Semiannual OTC derivatives statistics at end-December 2007

FWIW

http://www.bis.org/statistics/derstats.htm