16 Jun history of economics
Ben Bernanke, Chairman of the Federal Reserve Bank, said,
“AIG exploited a huge gap in the regulatory system. There was no oversight of the financial products division (referred to as “AIG FP” in the text). This was a hedge fund, basically, that was attached to a large and stable insurance company, made huge numbers of irresponsible bets…if there’s a single episode in this entire 18 months that has made me more angry, I can’t think of one, than AIG” (March 3, 2009)
Discuss the following
offer commentary on some aspect of Bernanke’s statements. The commentary should include specific information and explanation that is accurate while answering “What were the “irresponsible bets”???