In Code

8 Meaningful Quotes from Paul Krugman #4

I had hoped to mine a bunch of Krugman's early work, but recent events show that learning as much as possible about the current crisis is necessary. Krugman is blogging continuously on the subject, even over the weekend.

Today, Paul took a look at the original communique from the G7 about a global response to the financial crisis. He isn't happy. If this were a test, he would give the finance managers a C minus. He also thinks Paulson sounds terrified. Maybe we should be scared.

My initial take: it’s written in code — and that’s a bad thing. ... sounds to me as if there was some tense negotiation over language that two warring parties could live with — one (presumably the Brits) wanting a British-type recapitalization, the other (Paulson?) still hoping that the Warren Buffetts and Saudi princes of the world will come in and save the day. That’s not at all a good sign.