[ExI] Money Games

scerir scerir at libero.it
Tue Dec 16 17:09:18 UTC 2008

> (As an aside, some people have doubts that the banks have declared all
> their losses to date. The suspicion is that off-balance sheet losses
> are being hidden in case the panic gets even worse).
> BillK

It is perhaps even more interesting to know
the total, global amount of the 'toxic' assets.
Since those 'losses' are strictly related
to these 'toxic' assets (via the so called
'mark-to-market', and other procedures).

Needless to say, the mirabilis principium
called 'originate [financial products]  
and distribute [financial products]' in few
months became something like 'originate [risks]
and distribute [risks]' all over the world.
With the obvious consequences.

Now, while there is some agreement that
the global quantity of derivatives is
between 500 and 600 US$ trillions (more
than 10 times the output of the entire
planet) nobody knows how many of those
derivatives are 'toxic' or 'distressed'.

An unofficial estimate (more or less
secretly given by a wellknown firm)
says that the 'toxic' or 'distressed' 
assets are around 50 US$ trillions.

Now, if that is true, we can understand
why - as Bohr used to say - it's only
smoke and mirrors.  

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