Confidence game

Goldman Sachs worries that American Insurance Group might suffer from “an impairment of counterparty confidence.”

Goldman Sachs on American Insurance Group:

We are concerned over … the impairment of counterparty confidence

Note to Phil Gramm: it’s not really a financial crisis; just a widespread impairment of counterparty confidence. Purely a mental credit crunch.

As financial euphemisms go, “impairment of counterparty confidence” belongs right up there with “involuntary conversion of an aircraft.”

Author: Mark Kleiman

Professor of Public Policy at the NYU Marron Institute for Urban Management and editor of the Journal of Drug Policy Analysis. Teaches about the methods of policy analysis about drug abuse control and crime control policy, working out the implications of two principles: that swift and certain sanctions don't have to be severe to be effective, and that well-designed threats usually don't have to be carried out. Books: Drugs and Drug Policy: What Everyone Needs to Know (with Jonathan Caulkins and Angela Hawken) When Brute Force Fails: How to Have Less Crime and Less Punishment (Princeton, 2009; named one of the "books of the year" by The Economist Against Excess: Drug Policy for Results (Basic, 1993) Marijuana: Costs of Abuse, Costs of Control (Greenwood, 1989) UCLA Homepage Curriculum Vitae Contact: