need help in econ ZZ(Money & Banking( discussion homework. 5 hours only

Mike peter

I found the article on Goldman to be very interesting.  Despite the economic situation and the large amount of government aid to ensure it's vitality.  Goldman still was able to achieve record breaking stats during this time.  Not only that, it was able to compensate it's employees and the foundation to which Goldman donates to.  This goes to show why it is still within the top of these firms within Wall Street.  The waters forced to navigate during this time were able to be navigated in such a way, because of the people working and running this firm.  For people to focus on the negatives of how and why Goldman has done so well isn't wrong, but they should realize the efforts put forth by this company and the reasons for such vast compensation.  They were able to take out competition during this time by weaker rivals, which in turned positively affected their returns. This and the fact that they were operating at less than half of what they were on leveraged funds prior to the financial crisis, just shows their ingenuity and reason as to why their compensation was so high.  Although, they did experience quite a loss in revenue from investment banking from debt underwriting, because of the drop in revenue generated from the leveraged loans; they still exemplify the values of great economic principles day in and day out.