I have a record collection.

posted by The Vidiot @ 11:05 AM Permalink

But nobody is buying record collections these days. And maybe those records aren't really all that great anyway. But, never mind that, I need to assess my net worth so that I can get a loan and continue to do business so I value my record collection at thousands of dollars. Hey, just because the market is bad doesn't mean that the records don't have value, right? Besides, I really need to make myself look good on paper for that loan. Oh, and the loan people have to take my word for it.

Now apply that same principal to banks and you can see why Geithner's plan is nothing more than shady accounting and pretty much the same as what Enron did, and well, look at what happened to them.

Labels: accounting, Banking, enron, Mark-To-Market