Submitted by Patrick Bott on March 29, 2008 - 5:09pm.
Congratulations Ben! You've demonstrated what Nassim Taleb would refer to as the "narrative fallacy". Are we to understand that the problems in financing student loans are solely the result of no liquidity in the auction rate market? That it's not difficult to find liquidity elsewhere that makes it profitable to loan FFELP money post CCRAA? What explains then, the reluctance of Zion's, M&T, HSBC, and others who don't rely on auction rate securities to make FFELP loans today? Tell us Ben. As for the Direct Loan program, here are some words of inspiration from Mr. New Deal himself: "A program whose basic thesis is, not that the system of free enterprise for profit has failed in this generation, but that it has not yet been tried."-FDR
Two plus two equals five
Congratulations Ben! You've demonstrated what Nassim Taleb would refer to as the "narrative fallacy". Are we to understand that the problems in financing student loans are solely the result of no liquidity in the auction rate market? That it's not difficult to find liquidity elsewhere that makes it profitable to loan FFELP money post CCRAA? What explains then, the reluctance of Zion's, M&T, HSBC, and others who don't rely on auction rate securities to make FFELP loans today? Tell us Ben. As for the Direct Loan program, here are some words of inspiration from Mr. New Deal himself: "A program whose basic thesis is, not that the system of free enterprise for profit has failed in this generation, but that it has not yet been tried."-FDR