Adumbration

A comprehendible discussion of credit default swaps and related matters associated with the problems in financial markets. Kling is formerly with the Fed and Fredie Mac

Credit Default Swaps, Counterparty Risk, and the Political Economy of Financial Regulation (11/10/2008) - Arnold Kling of EconLog talks about the role of credit default swaps and counterparty risks in the current financial mess. The conversation opens with the logistics of credit default swaps and counterparty risks and moves on to their role in the financial collapse. The conversation closes with a discussion of the political economy of pending financial regulation.