Sep 17, 2008

Fed Bails Out AIG

The average New Zealander should be very pleased with the Fed. Their action today in providing an emergency loand to AIG has meant that you will quite soon be experiencing lower borrowing costs. Remember this when Winston Peters (Winston First New Zealand last) or the Greens try and convince you this election that we can insulate ourselves from the rest of the world. We can't. We are increasingly interdependent. The US economy sneezes, we catch a cold also.

The New York Times reports today on the bail out.