Right at the onset, watch how Timmaaay leans way to his right almost out-of camera and flashes a clown's grin. Charming the Sherminator does not work. Sherman ("Capitalism Is Back!") has a simple question. Tim Geithner will not answer it. Geithner is hedging himself for future trouble. He doesn't want to make any categorical declarations about future bailouts (because he knows they're coming). It's the epitome of moral hazard.
Sherman's questions:
- "Is it theoretically possible that a derivative issued today will be subject to a bailout tomorrow?"
- "Do you want to use this opportunity to tell the financial markets that there is no more bailout?"
- "Or do you want to use this opportunity to tell our constituents that derivatives being sold today might result in the bailout payments of tomorrow?"
- "Mr. Secretary I can understand why you want to answer someone else's question, but I get 4 minutes..."
Commentary from James:
That "worthless piece of maggot shite" (2:20 mark on WalStreetPro link), Tim Geithner gets smart and sassy with the Sherminator (Rep. Brad Sherman, D-CA).
Sherman asks Geithner if CDS sold TODAY may be subject to a bailout TOMORROW if the seller goes under. Turbo refuses to answer and says it would be "irresponsible" of him to answer such a "simplistic" question given the "enormous complexities" of the situation.
Personally, I quiver with rage and indignation when I hear this kind of talk: "Things are very complex - we elites understand them and you peasants do not. Trust us. And give us some money."
What cheek. What obvious non-sense. More evidence that your government doesn't give a shite what you or your representatives think.