The giant sucking sound at the bottom of the global pool

If you’re not a regular listener of This American Life, you may have missed the May episode entitled “The Giant Pool of Money”. It explains why what we have now isn’t just a ‘sub-prime mortgage lending crisis’ but a ‘worldwide credit crisis.’ It’s masterfully written, taking all the jargon and translating it into plain, often witty English:

Alan Greenspan: The FOMC stands prepared to maintain a highly accommodative stance of policy for as long as needed to promote satisfactory economic performance.

Adam Davidson: You might not believe me, but that little statement: that is Central Banker-speak for “Hey, global pool of money — screw you.”

Alex Blumberg: Come on, that’s not what he said.

Adam Davidson: It is! I speak Central Banker and that’s what he’s saying.

Anyone interested enough in the economy to be reading a personal finance blog — this means you! — absolutely should not miss this episode. Clear an hour to listen to the show, or you can read the transcript instead.

(Photo by Jeff Belmonte.)

Leave a comment: