Tuesday, November 9, 2010

Three Questions

How is the sale of mortgage-backed securities beneficial and to whom is it beneficial?
- Benefits Goldman-Sachs and its employees, make money
- SEC can use case as an example to warn other companies and show they will take action even against the biggest companies
- Not beneficial for investors and economy
- Lead to collapse of housing market and economic downturn

Why can't the charges the SEC filed against Goldman Sachs be used as an example for other companies?
- Goldman-Sachs was punished, but punishment was no where near profits they made from scandal
- Did not lose hardly any customers due to this case
- Research how many customers were lost and how much money was made even after payments

How is Goldman-Sachs reputation affected by being punished by the SEC and the public knowledge of the deception of their investors?
- Not much of an affect on reputation, still investment in company
- Research views of people who invested and lost money as well as outsiders who did not invest, see if there is a difference in views
- Research how many investors who lost money reinvested in Goldman-Sachs again

1 comment:

  1. Ok, this is starting to go somewhere! But when asking your questions, make sure you are as precise as possible. I'm not quite sure what you are thinking when you say "this," or "it," or "this problem." Part of getting your thoughts going is to spell it out exactly. So, what is this problem? What is this case? How are you thinking of "this scandal"? Rewrite them as soon as possible so that your own insights and concerns are more clear.

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