The Madoff Unit: A new metric for the Big Shitpile
[Welcome, Mick Weinstein readers!]
In what I am sure is an isolated incident, Bernard Madoff, former Nasdaq chairman, arrested over alleged $50 billion fraud*.
I mean, it is only in billions.
Then again, there are a thousand billions in a trillion (in America. The Brits have a different view).
So, $50 billion/$1000 billion = 5%, so 20 Madoff Units equal one trillion. That means that 40 Madoff Units equal two trillion.
So, if you had been entertaining the hypothesis that Hank Paulson's two trillion is replacing money that his golfing buddies previously, well, stole, and that's why it's having no visible effect, that would mean that there would have had to be 40 individuals just like Madoff in our financial class, each of whom would have had to steal, on the whole and on the average, one Madoff Unit. Which is absurd. Even in a completely unregulated environment. Right? Right?
NOTE * A Ponzi scheme, apparently.
NOTE The absurdity of the current debate on a loan to the Big Three automakers is that they're only asking less than one-third of a Madoff Unit. Chump change!