The Great Deformation (139 page)

      
“debt-push” jobs,
633

      
HES Complex jobs,
632
,
636
,
637–639

      
HES government funding/subsidies,
632
,
638–640
,
644

      
job categories,
632

      
jobs created and,
635–637

      
part-time jobs,
632
,
635
,
636

      
recommendations,
708

Jobs, Steve,
453

Johnson, Lyndon

      
conventional forces/warfare state and,
216
,
233

      
devaluation of pound and,
254–255

      
Fannie Mae and,
170

      
gold standard and,
254–255
,
257

      
Great Society,
258

      
“guns and butter” deficits,
57
,
58
,
89
,
105
,
112
,
204
,
205
,
214
,
219
,
245
,
247
,
249
,
250
,
254
,
257
,
258

      
Medicare/Medicaid,
697

Johnson, Samuel,
574

Jones, Jesse,
194

JP Morgan

      
after financial crisis (2008),
547
,
693

      
Bear Stearns and,
393

      
before financial crisis (2008),
22
,
28–29
,
396–397

      
financial crisis/bailout (2008),
49
,
535

      
“gain on sale” profits,
38

      
Goldman Sachs and,
493

JP Morgan Chase,
393
,
398

Junk bonds

      
“covenant lite,”
503–504
,
508

      
Fed interest rates and,
506

      
“gains” illusion (2000s),
506–507
,
525–526

      
“Great Moderation” and,
507–508

      
mispricing,
504–505

Kaiser, George,
601

Karches, Susan,
444

Kashkari, Neel,
44

Kemp, Jack,
419

Kemp-Roth tax cut bill,
90
,
95

Kennedy, John

      
administration,
20

      
Bay of Pigs,
230

      
campaign/election (1960),
231
,
235
,
237

      
defense spending and,
70
,
216
,
233

      
federal spending and,
70
,
216
,
219
,
233
,
674

      
gold standard and,
195–196
,
244–246
,
247
,
248–249
,
257

      
Walter Heller and,
226–229
,
231
,
247–249
,
674

Keynes, J.M.

      
Bretton Woods conference,
237
,
242

      
England's default and,
241
,
242

      
gold standard and,
110
,
162
,
182
,
241
,
242
,
243

      
Nazi Germany and,
191–192

      
personality/style,
139
,
187
,
191–192
,
345

      
Roosevelt and,
139
,
162
,
188

      
speculation,
491–492
,
499

      
Time
magazine cover/story,
249
,
250

      
University of Chicago economists and,
243

KKR,
515
,
520
,
525
,
526
,
527
,
529
,
530

Kleiner Perkins,
602–603
,
604

Korean War

      
economy and,
89
,
131
,
205
,
212
,
223
,
227
,
228
,
232
,
233

      
financing,
195
,
204–205
,
213
,
214
,
216
,
217
,
232

Kozlowski, Dennis,
483–484

Kroszner, Randall,
379

Krugman, Paul

      
background,
133–134

      
dot-com bust and,
536

      
Friedman's “freshwater” proposition,
272

      
gold standard and,
198

      
on New Deal,
133–134
,
139–140

      
stimulus after 2008 financial crisis,
139–140

Laffer, Art/curve,
88
,
89–90
,
127
,
214
,
589

Lane, Ray,
606–607

Lazear, Ed,
50
,
557

LBOs.
See
Leveraged buyouts (LBOs)

League of Nations,
142–143
,
239

Lear Corporation

      
“bankruptcy”/vulture speculators and,
666–668

      
history/stock market,
665–666
,
667

Lee, Thomas,
531

Lehman

      
before financial crisis (2008),
22
,
28–29
,
384–385

      
crisis/failure of,
5
,
7
,
12
,
19
,
20
,
21
,
24
,
26
,
46
,
47
,
48
,
49
,
544

Lehman, Governor (New York),
150

Leveraged buyouts (LBOs)

      
CEW extraction,
513
,
514
,
515
,
518
,
525
,
526
,
534

      
CLOs and,
507

      
debt and,
503
,
504
,
505
,
507–508
,
510–511
,
512–513
,
529
,
560

      
description/“role,”
448
,
450–451
,
453
,
508–509
,
559–560
,
567

      
Dex Media/R.H. Donnelley & Sons example,
510–513

      
“dividend recaps,”
504

      
Fed interest rates and,
503

      
founding companies,
529

      
hotel construction,
538–542
,
545

      
leaks and,
487

      
refinancing/flipping homes,
425

      
statistics on (2000s),
455
,
471
,
503

      
sunset industries and,
512

      
US after 1980,
4

      
See also
Bain Capital
;
specific examples

Leveraged buyouts (mega-LBOs)

      
beginnings,
509–510

      
“bridge loans” and,
534–535
,
541
,
543

      
debt zombies,
516
,
529–536
,
562

      
description,
513

      
examples,
514–526
,
530–532
,
533–536

Libor (London Interbank Offered Rate),
311
,
503

Lichtenstein, David,
538–539
,
540

Lightstone Group,
538
,
539
,
540
,
542
,
543
,
545

Lippmann, Walter,
149

Lockheed,
15

Loeb, Daniel,
664

London Economic Conference (1933),
139
,
143–145
,
187
,
190
,
191

“London Whale,”
493

Long Beach Savings,
440
,
442

Long, Huey,
140
,
154

Long, Russell,
130

Long-Term Capital Management (LTCM)

      
bailout/effects,
15
,
16–17
,
62
,
141
,
319
,
332
,
334–335
,
389
,
390–392

      
collapse causes,
497–498

      
description/speculations,
15
,
16
,
389–390

      
Meriwether and,
385
,
390
,
497
,
498

      
other “investment banking” systems and,
389–390

Lovins, Amory,
599

LTCM.
See
Long-Term Capital Management (LTCM)

Lucent,
480
,
481

M&A deals

      
dot-com bubble,
479–481

      
effects (summary),
470–471
,
478
,
481–484

      
Fortune
500
top companies,
466–467

      
leaks and,
487

      
mega-banks/mergers,
393–399

      
mergers false claims,
394–397
,
462
,
511

      
stock prices and,
456
,
483–484

      
value destruction with,
481
,
482–483

      
Wall Street growth,
393–399
,
456
,
462
,
511

      
See also specific companies

MacDonald, Ramsay,
162

Mack, Christy,
444

Mack, John

      
description/background,
47
,
444

      
financial crisis/bailout (2008),
48

      
See also
Morgan Stanley

Madoff, Bernie,
40

Main street banks

      
“contagion risk” and,
30–32