Google’s “Zeitgeist” search trends report shows “Edward Conard” as one of the top ten most searched authors in 2012. Below is a full list of the top ten most searched authors. You can find a link to the report here. Charles Duhigg William Landay Brian Souza ML Stedman EL James Cheryl Strayed Gillian Flynn Sylvia [...]
Harvard Business Review
Friday June 8, 2012
by Edward Conard
Some politicians claim that unsystematic loan losses, like the $2 billion loss JP Morgan recently suffered, significantly increase the risk of another financial crisis. They do not. A 30% drop in real estate prices, which systematically threatened all lenders with upwards of a trillion dollars of losses, caused the financial crisis. Subprime mortgage losses turned out to be much smaller than expected —$300 billion, according to the Federal Crisis Inquiry Commission—and non-bank lenders suffered most of those losses (notwithstanding mark-to-market losses from credit downgrades). Nevertheless, institutional investors withdrew $1.5 trillion of short-term funding from intermediaries—five times more than loan losses—despite $15 trillion of explicit government guarantees made during the crisis. Had the government guarantees been smaller, the withdrawals would have been much larger. Two billion dollars of losses may be eye opening, even for JP Morgan with equity worth $170 billion, but it’s orders of magnitude smaller than risks large enough to spark a financial crisis.
What I learned at Bain Capital working with Mitt Romney: outsourcing is good and America’s future isn’t manufacturing, it’s ideas. Foreign Policy Magazine By Edward Conard | June 7, 2012 The United States must integrate its economy more fully with China and India to maximize their dependence on the United States for employment, innovation, and [...]