Chris Giofreda

Why The Paulson Plan Won’t Work

This was an artfully articulated piece on a complex problem. Well done. The work of that economist who came up with "The Market for Lemons" was very interesting to read. My portfolio carries significantly more risk weight than it did even a few months ago and I could not fathom purchasing anything backed by mortgages - though most of them are fundamentally sound. I guess the problem is that even if they were to pay us a premium to take the risk that would only serve to understate just how 'toxic' the product might really be...