This blogbook offers, with the aid of various charts, graphs, and tables, a pictorial guide to the 2008 financial crisis.
Deteriorating Balance Sheet at the Fed
This chart with data from late September 2008 shows how sharply the balance sheet of the Federal Reserve had deterioriated towards the end of that month. Though the initial "Paulson Plan" was styled as a rescue of the banks, it was primarily a recapitalization of the Federal Reserve. The imminent demise of the US central bank was among the terrors evoked by US officials in their demand that Congress pass the legislation immediately.
To see the presentation in order, use either the Labels below for each chapter or the Table of Contents for individual entries.
The initial presentation was made in October 2008 and was last updated in January 2009, though I recently substantially expanded the list of sources. Lately, I have been working on a blogbook called Energy Predicament.
My dubious record for 2008 is reviewed here, by some miscreants.
FEELING GLUM AND OUT OF SORTS, PERHAPS A BIT ANGRY?
YOU HAVE EVERY RIGHT TO FEEL THAT WAY.
A good number of my charts first appeared at Contrary Investor. Though oriented toward investors, CI offers a superb analysis of the real economy and its relationship to the financial system. It is an indispensable source not only for individuals but also for any good library. So subscribe, dammit.