The Shock Doctrine
Resources
These documents complement Naomi Klein's article, "The Bailout Profiteers," in Rolling Stone.
Links
Jim Snyder, "With Bailout Passed, Lobbyists Look to Get in the Game," The Hill, October 4, 2008
Link
Many large law firms, including Rudy Giuliani's firm, have set up task forces in the hopes of steering bailout cash to their clients. One law firm executive states that working for bailout money "is going to be a big trend, in all honesty, for the next three to five years."
Link
Many large law firms, including Rudy Giuliani's firm, have set up task forces in the hopes of steering bailout cash to their clients. One law firm executive states that working for bailout money "is going to be a big trend, in all honesty, for the next three to five years."
Kathleen Pender, “How U.S., Britain Plans Differ in Bank Aid,” San Francisco Chronicle, October 14, 2008
Link
This article compares the details of the U.K. bailout and the U.S. bailout in a clear, straightforward fashion.
Link
This article compares the details of the U.K. bailout and the U.S. bailout in a clear, straightforward fashion.
Louise Story and Eric Dash, “Banks Are Likely to Hold Tight to Bailout Money,” New York Times, October 17, 2008
Link
The New York Times examines how several of the banks receiving bailout money may not use it for lending, as the government intended. Rather, they may hoard the money and use it for acquisitions or simply as a "cushion".
Link
The New York Times examines how several of the banks receiving bailout money may not use it for lending, as the government intended. Rather, they may hoard the money and use it for acquisitions or simply as a "cushion".
Greg Farrell, “Citi to Seek Acquisition Deals,” Financial Times, October 16, 2008
Link
The Financial Times looks specifically at Citigroup's interest in using the bailout funds to acquire other banks.
Link
The Financial Times looks specifically at Citigroup's interest in using the bailout funds to acquire other banks.
“Mr. Paulson’s Client,” New York Times, October 13, 2008
Link
A New York Times staff editorial sees potential conflicts of interest with the Treasury's dependence on contractors to enact the bailout plan. The editorial states, “The financial firms with assets to sell are in many instances the same firms the Treasury will rely on to value and manage the assets it is buying. That is an invitation for these firms to set the price too high or to indulge in other mischief at the taxpayers’ expense.”
Link
A New York Times staff editorial sees potential conflicts of interest with the Treasury's dependence on contractors to enact the bailout plan. The editorial states, “The financial firms with assets to sell are in many instances the same firms the Treasury will rely on to value and manage the assets it is buying. That is an invitation for these firms to set the price too high or to indulge in other mischief at the taxpayers’ expense.”
Jonathan Weil, "Morgan Stanley's Bonuses Get Saved By You and Me," Bloomberg, October 21, 2008
Link
Weil discusses reports that Morgan Stanley, which received $10 billion from the Treasury, is paying around the same amount in compensation to its staff in 2008. Weil writes, “You can imagine the devilish grins on the faces of Morgan Stanley employees. Not only did we, the taxpayers, save their company… More importantly, we funded their 2008 bonus pool.”
Link
Weil discusses reports that Morgan Stanley, which received $10 billion from the Treasury, is paying around the same amount in compensation to its staff in 2008. Weil writes, “You can imagine the devilish grins on the faces of Morgan Stanley employees. Not only did we, the taxpayers, save their company… More importantly, we funded their 2008 bonus pool.”
Treasury Documents
Bank of New York Mellon's Contract
Link
Bank of New York Mellon received the Treasury contract for custodian of assets purchased under the Treasury's bailout plan. Unfortunately, the Treasury blacked out all the payment information in this contract, and the public will not know how much the contract is worth until the Treasury opts to release the amount in a few weeks or a few months.
Link
Bank of New York Mellon received the Treasury contract for custodian of assets purchased under the Treasury's bailout plan. Unfortunately, the Treasury blacked out all the payment information in this contract, and the public will not know how much the contract is worth until the Treasury opts to release the amount in a few weeks or a few months.
Law Firm Simpson Thacher & Bartlett's Contract
Link
The Treasury awarded a $300,000 six-month contract to the legal firm Simpson Thacher & Bartlett.
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The Treasury awarded a $300,000 six-month contract to the legal firm Simpson Thacher & Bartlett.
