Archive for April 16th, 2008
Is it possible to earn $3.7B from mortgage crisis?(0)
We may have lost our house, but hedge fund managers have earned money hand over fist during the crisis. They earned so much that they broke even Wall Street’s record. Last year, one of the managers John Paulson made $3.7 billion. Yes, that is a billion.
And he is not alone. George Soros made $2.9 billion and James Simons made $2.8 billion. There are total of five managers who made more over $1 billion last year. The average income of the top 25 managers was $877 million in 2007. The lowest paid manager on the list got only a mere $360 million. Even the average income of the top 50 managers was over half a billion. In the same time period, average family income was $60 thousand. So how did Paulson make his money? By betting against mortgages and banking on housing market collapse. Put it simply, as all of us lost more, he earned more. That is how Wall Street works.
Do not worry when troubles come, everyone from US Government to World Banks would rush to save these hedge funds.
How do Chinese exercise freedom of speech online?(0)
Despite what you have heard, China does not restrict freedom of speech on the Internet to those who support the official position. As a result, Chinese web users are expressing their support for the government unabated: they are filling up chat rooms with red hearts and red-lettered CHINA.
What do those red hearts and red words mean? Not everyone is sure. Some Chinese say that those are warning to those who want to bring chaos to China. Like Tibetan monks, those who support them, and French supermarket, and anyone who is pro-Tibetan. Some are putting up photos of themselves in Chinese Army uniforms to make sure people don’t think it was just an empty threat. But others think this is just to show support for their country and government: they are meant to symbolize pride and affection.
Interestingly, a rare few who did not choose to express their support were reluctant to explain why. After all, not everyone is allowed freedom of expression in China.
