A Hedge Fund Perspective

Jim Chanos,Founder and President of Kynikos Associates,describes the situation in Greece as being a mess.Almost no matter what Greece does,there's gonna be a lot of pain.Greece is between a rock and a hard place.The major holders of this sovereign debt are the European banks-and even the U.S. through the International Monetary Fund.It's the same bailout problem.No one in elected politics seems to live within their means.We can't bail ourselves out.
A property bubble is proportionally a bigger problem for the Chinese economy than it was for ours.Something is changing in China,but will the authorities have the fortitude to stay with it?This is a centrally planned economy.The history of such economies is not a good one.There are bad investments written off and outside speculators getting burned.
In capitalism,you generally have a market and prices to ensure efficiency;but there are agency risks in a market economy:managers and bureaucrats.The reality is,the markets are gonna end up wherever they're gonna go.We've been embarked on "extend and pretend" with regard to bad debts.We have an unwillingness to recognize losses.This is not really capitalism,but a market economy where losses get socialized,the American intellectual and hedge fund magnate Jim Chanos observed.

Jobs Alert:Financial Analysts Needed

FBR Capital Markets is seeking financial analysts.They will provide feasibility and strategic analyses for the international energy and natural resources industry relating to exploration and production.Must be available to work at various unanticipated sites throughout the U.S.Those interested should mail a resume to
Attn:Ken Lattimore
FBR Capital Markets
1001 19th St. North
Arlington,VA 22209
re:Job Code 1474.18

Beyond The ER Hassle

Teams of USC nurses are now evaluating and treating after-hours patients,or those who otherwise need prompt and sophisticated outpatient services,at the Evaluation and Treatment Center in USC University Hospital.The teams consist of an RN and a Licensed Vocational Nurse-formerly called LPNs.The patients are referred by USC physicians,typically Keck School of Medicine professors,who may meet their patients at the facility.The ETC will soon be a year old.
The 20 full-time nurses who staff the ETC are from critical or urgent care backgrounds.Skilled in disciplines from cardiovascular to oncology,they are treating 100-120 patients a month,broadening and deepening their expertise as they encounter a wide range of cases.The ETC is especially helpful to post-operative patients.
No walk-ins are accepted,and only private patients are seen at the ETC.Expansion plans are already being drawn up for the facility,which averts the stress of emergency room visits and insures continuity of care.

Special Coverage:Correction Grips World Markets

Investors worldwide are dusting off their worry beads as markets tumble into correction mode.Asian markets are down from 2-4% following sharp drops on Wall Street.Indeed,the Dow Jones Industrial Average experienced a plunge of more than 900 points-it's worst one-day plummet ever-before rallying back to a more manageable level.Much of the record fall is being attributed to technically faulty trades that have subsequently been canceled by the exchange authorities.
Lights are burning at the Securities and Exchange Commission and Commodity Futures Trading Commission as they work with stock exchanges to protect investors from further chaos.Although much of the correction is a legitimate reaction to the Greek debt crisis and fear of contagion,as well as a European Central Bank that is biding its time on further measures to deal with the matter,it appears to have been exacerbated by electronic or human error or both.A congressional subcommittee will examine the event on Tuesday.
The correction comes at a time when small investors were beginning to feel encouraged about their prospects again.It may be a setback with an indefinite horizon.Many analysts believe we could see a further loss of 5-15% in the short term.On the other hand,bonds and gold surged in response to the free fall.

University Plans Science City

Johns Hopkins University has been spearheading the drive to build a new research and development complex just north of Washington,D.C. in Montgomery County,Maryland.The Baltimore-based university says it wants to create an exciting,livable,research-oriented Montgomery County of the future.It hopes the 10 billion dollar project will rival Palo Alto,California or the Research Triangle in North Carolina.The mixed use development would include housing and retail as well as R&D.Local residents fear the project would result in more suburban sprawl,spawning heavy traffic.Supporters point to the residential and retail aspects of the plan,which they say will keep workers on site.
The Montgomery County Council has been narrowing the project's scope somewhat,raising the life sciences quotient from 30 to 40% of the site,which lies west of I-270,and diminishing the maximum square footage from 20 million square feet to 17.5 million.This has lessened the concerns of residents,but they still intend to keep a close eye on the matter.A final vote by the Council will probably be taken in June.
R&D projects are highly sought-after by numerous jurisdictions nationwide.Today more than ever,they need the good tax revenue such activity is believed to generate.The Johns Hopkins University Applied Physics Laboratory is an economically successful example of such development in nearby Howard County,Maryland,although it does draw its share of commuters.

What Goldman Sachs Does

Goldman Sachs has been dominating the business news,but many may not understand what the company actually does.Professor Samuel Hayes of the Harvard Business School says Goldman Sachs affects all of our lives.It serves as brokerage and researcher for pension funds;raises money for cities and towns;facilitates new issues of stock for companies we work for or invest in;and engages in trading for its own profit.
Goldman Sachs has a lot of influence through its alumni in government.Two of them went on to become U.S Treasury Secretary,but the alumni are active all over the world.Professor Hayes is sure there are elements of both resentment and actual misconduct fueling the current furor over the company.Goldman Sachs should know that the perception of this behavior is damaging.They will have to live with it for a long time,in the professor's opinion.
Goldman Sachs is 140 years old.It employs 35,000 people worldwide.In recent years,its proprietary trading has grown in importance,which has been criticized by some as being less than socially useful.

Jobs Alert:Three-Day Career Fair

The Washington Post is holding its Colossal Career Fair from 11AM-5PM on May 17-19.On May 17,the Professional Pavilion and Government Agency Pavilion will be open.The Professional Pavilion is for all experience levels.Candidates for the Government Agency Pavilion must be U.S. citizens.May 18 the Healthcare Pavilion will be held.Candidates must have previous healthcare experience and/or degree.On May 19,the Engineering,Technology and Security Cleared Pavilion takes place.Without exception,candidates must have U.S. citizenship and at least two years of engineering,technology or defense industry experience on top of relevant degree or military experience.Some employers may require an active security clearance.
Candidates for all positions must bring a hard copy of their resume for pre-admittance screening to ensure that pavilion-specific qualifications are met.Questions should be directed to 1-877-842-3976x17 or resume@expoexpertsllc.com See also www.washingtonpost.com/careerfairs The fair will be held at
The Washington Post
1150 15th St NW
Washington,DC 20071