So, Robert Rubin had nothing to do with this?
Come on...

So, absent Robert Rubin Citi would not get a bailout?
Come on...

For a theory to work, Bit, it has to not only predict when things will happen, but also when things won't happen.

Yes, it does in fact help.
Note, please, who was involved with the negotiation.
Do you really consider that absent an oncoming Democrat administration, Citibank wold have been handled that way?

Given the current administration's own words on the need for a Citi bailout, yes, I think it would have gone exactly the same way.

All it takes?
No. But clearly, it doesn't hurt.

Clearly it doesn't help either, so maybe it's time for a new theory.

Actually we probably are. What isn't being told is that right now Citi is probably making all sorts of loans this very second.

The unspoken implication was that we would do that, and not give away $700B.

The problem is that your theory, that all it takes is political connections to get a bailout, makes certain predictions which have not panned out.

All it takes?
No. But clearly, it doesn't hurt.

Still the point is that these people have the ability to get in touch with powerful people and get favors. The people in Washington have incentives to comply.

So what's your point Steve... It is all the fault of the "Washington People"? You know they come and go. It does not matter which party is in power, to us lowly folk or to those at the top. For us serfs, we are at their whim. For those at the top... Well, anybody can be bought.

What is your solution, Steve?

Of course it seems that if such meetings took place we would have heard of them.

They don't have phones in their offices? It has to be face-to-face?

Still the point is that these people have the ability to get in touch with powerful people and get favors. The people in Washington have incentives to comply.

Of course, they'll put the best face on it. Saying it was for the good of the global economy. Heck they might even believe it. But given that the crisis has racked up over $7.7 trillion so far with no end in sight, I can't help but wonder....how much worse could things have been without these bailouts like Citi got?

I know, I know the sky would have fallen. And don't be such a nitpick.

Steve Verdon partially answers why Citibank is getting bailed out: Simple: the executives and large stake shareholders in Citigroup have the personal phone numbers of most politicians in their roll-a-dex. They are probably on a first name basis with Se...

Wait a minute ... didn't Reid and Pelosi go to Paulson and ask him for $700B? Am I remembering that wrong?

I might have missed the humor tag on this one...

However, given recent evidence that, despite the bailout legislation passed by congress, Paulson seems to have total freedom to direct it as he sees fit I just found it odd to mention congressmen while leaving out Bernacke, and of course, the President.

Wait a minute ... didn't Reid and Pelosi go to Paulson and ask him for $700B? Am I remembering that wrong?

Of course it seems that if such meetings took place we would have heard of them.

However, given recent evidence that, despite the bailout legislation passed by congress, Paulson seems to have total freedom to direct it as he sees fit I just found it odd to mention congressmen while leaving out Bernacke, and of course, the President.