[NOTE: Today’s news: bondholders with derivatives force GM towards bankruptcy. How many more companies might this happen to?]
According to Ira Glass’ “This American Life” program on NPR, the scope of the financial problem is as big as that huge 100 foot wave in the movie, “The Perfect Storm.” The title of the NPR show is “Another Frightening Show about the Economy.” Included is a terrific section on derivatives, specifically the type of derivatives called credit default swaps (CDSs). [minutes 20-40 of Oct. 3-5 episode 365 on http://www.NPR.org]
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