Strange...I never thought that I would find myself a defender of Goldman. But, here I am.
The Senate hearings today proved beyond a shadow of doubt that not one single member of the Senate committee has the remotest inkling of how capital markets work. It was an embarrassing spectacle. The only intelligent participants in this debacle were the present and former employees of Goldman Sachs. Our elected representatives revealed themselves as complete idiots -- bi-partisan idiots at that. Perhaps, the worst questioner of all was John McCain. He has no idea what he is talking about. But, in his defense, none of the other Senators had a clue either.
The end of all of this will be the permanent shift of the world's financial capital from New York and London to Hong Kong and Singapore. The Chinese understand how capitalism works; the US Senate does not.
