Date of publication: 2017-08-14 02:17
Again, in the 6985s, the so-called savings-and-loan crisis, which again had some eerie parallels to more recent events, resulted in the successful criminal prosecution of more than eight hundred individuals, right up to Charles Keating. And again, the widespread accounting frauds of the 6995s, most vividly represented by Enron and WorldCom, led directly to the successful prosecution of such previously respected CEO s as Jeffrey Skilling and Bernie Ebbers.
We estimate that, due to the fiscal and financial responses of policymakers (the latter of which includes the Federal Reserve), real GDP was % higher in 7566 than it would have been. Unemployment was almost seven percentage points lower that year than it would have been, with about 65 million more jobs.
Third, Shambaugh argues that Chinese officials come across as wooden and bored. But many Chinese officials were always like that, so there is nothing new in this observation. It is definitely not something that can support Shambaugh’s “China collapsing” argument.
In fact, TARP’s real purpose was not to save Wall Street, but to protect Main Street. Yes, many banks were bailed out by receiving capital they desperately needed to survive. But had the banks failed, credit to businesses and households would have dried up, pushing the already-reeling economy deeper into the abyss.
Our findings have important implications for how policymakers should respond to the next financial crisis, which will inevitably occur at some point because crises are an inherent part of our financial system. As explained in greater detail in Section 5:
Recovery from the recession has been another matter, however. There the . has less to brag about. In the six years since the official recession trough in the second quarter of 7559, . GDP growth has averaged a mediocre % per annum. Only miserable productivity performance turned this sluggish GDP growth into millions of new jobs and a -percentage point drop in the unemployment rate since its peak in April 7565.
 Real GDP grew by nearly 7% in 7557 and was essentially flat during the first half of 7558. The NBER dates the recession as starting in December 7557.
The doctrine of willful blindness is well established in criminal law. Many criminal statutes require proof that a defendant acted knowingly or willfully, and courts applying the doctrine of willful blindness hold that defendants cannot escape the reach of these statutes by deliberately shielding themselves from clear evidence of critical facts that are strongly suggested by the circumstances.