Posts filed under “Bailout Nation”
The deal is now official, so I can make the announcement: Wiley is the new publisher of Bailout Nation. They wee one of more than a dozen publishers that approached me about the book.
The denial from the PR weenies at McGraw Hill was classic. Here is my favorite part:
The book didn’t meet our editorial standards,” Mary Skafidas, a McGraw-Hill spokeswoman in New York, said in an e- mailed statement. “When we could not come up with a unified approach, we released him from his contract.”
Mary, we both know that is not true.
First, you said you couldn’t verify the sources. But then I showed all of the footnotes, 90% of which had URLS to the original article. Then you said your fact checking department had a problem – but it turns out that according to GalleyCat, you guys don’t even do fact checking anymore. Now we hear it didn’t meet your editorial standards.
Tsk tsk, Mary. Because of your transgressions against the Truth, I have a very special present planned for you and McGraw Hill. But, you are going to have to wait for when the book comes out to see it. I am very excited about it.
Meanwhile, here are some words from people who don’t lie for a living:
A book critical of Standard & Poor’s credit-rating service will be published by John Wiley & Sons Inc. after the author took back his manuscript from S&P-owner McGraw- Hill Cos.
John Wiley said on its Web site the 320-page book, “Bailout Nation: How Easy Money Corrupted Wall Street and Shook the World Economy,” will be available in May. The author, Barry Ritholtz, said today he couldn’t discuss some specifics until he has received a final contract.
“We have a deal in place,” said Ritholtz, chief executive officer of equity-research firm FusionIQ. “I probably should have sought out a publisher in the first place that didn’t own divisions where there might have been a conflict of interest.”
Ritholtz said last month he withdrew the manuscript from McGraw-Hill after the New York-based publisher edited a section in which he wrote that its S&P unit, Fitch Ratings and Moody’s Investors Service inflated their opinions in exchange for fees. McGraw-Hill said at the time the book had facts that needed verification before it could be printed.
Last month, McGraw-Hill cancelled the publication of Bailout Nation: How Easy Money Corrupted Wall Street and Shook the World Economy, a book critical of Standard & Poor’s, which is a division of The McGraw-Hill Companies, and yesterday, author Barry Ritholtz, inked a deal with Wiley to publish the book. McGraw-Hill had maintained it canceled publication because of problems with corroboration; no one from Wiley was immediately available to discuss if they will change the book at all.
Ritholtz’s attorney-agent, Lloyd J. Jassin, brokered the deal with Kevin Commins, executive editor at Wiley. Jassin said that the original story about McGraw-Hill cancelling the book, which broke in Portfolio, then PW and then was picked up by Newsweek last week, “set off a deluge of offers from publishers.” He said, “We feel very comfortable with Wiley.” The book will be released in early April with a May pub date.
Wiley to Publish Book Critical of McGraw-Hill’s S&P
Bloomberg, March 3 2009
Wiley to Publish Book Canceled by McGraw-Hill
Publishers Weekly, 3/3/2009 2:50:00 PM
These are the endnotes in the submitted Manuscript. As you can see, verifying them should be relatively simple given the included web page URL.
These do not reflect the additional 90 pages of sources — McGH requested I remove to make the book smaller.
N O T E S
1. Daniel Gross, Pop! Why Bubbles Are Great for the Economy
(New York: HarperCollins, 2007).
1. Casimir Frank Gierut,
Taxpayers’ Message to Congress: Repeal the Federal Reserve Banks: Pandora’s Box of Criminal Acts (Bunker Hill, Ill.: National Committee to Repeal the Federal Reserve Act, 1983), p. 31.
(The Federal Reserve Act was passed in 1913 on a Sunday two days before Christmas, when most of Congress was on vacation. Wilson’s comments were made years later, regarding the bill he signed into law.)
2. Steve Matthews,
Bloomberg Markets, June 2008;
3. The Economic Club of New York, 395th Meeting,
New York City, April 8, 2008;
4. “Jefferson’s Opinion on the Constitutionality of a National Bank,”
The Avalon Project at Yale Law School;
5. Virtual Tour of Historic Philadelphia,
“Second Bank of the United States/Portrait Gallery: Biddle vs. Jackson”;
6. Roger T. Johnson, “Historical Beginnings of the Federal Reserve,” Federal
Reserve Bank of Boston, December 1999;
7. Stephen Mihm,
A Nation of Counterfeiters: Capitalists, Con Men, andthe Making of the United States
(Cambridge, Mass.: Harvard University Press, 2007).
8. Ibid., p. 6.
9. Johnson, “Historical Beginnings.”
10. Robert F. Bruner and Sean D. Carr,
The Panic of 1907: Lessons Learned from the Market’s Perfect Storm
(Hoboken, N.J.: Wiley, 2007), p. 7.
1. Robert J. Shiller,
“A Government Hand in the Economy Is as Old as the Republic,”
Washington Post, September 28, 2008, p. B01;
2. Daniel Gross,
Pop! Why Bubbles Are Great for the Economy
(New York: HarperCollins, 2007), p. 29.
3. Jonathan Alter,
The Defining Moment: FDR’s Hundred Days and the Triumph of Hope
(New York: Simon & Schuster, 2006), p. 341.
4. C. L. Harriss, History and Policies of the Home Owner’s Loan Corporation
(Detroit: National Bureau of Economic Research, 1951);
5. “Profitable HOLC,”
Time, April 22, 1946;
6. Alex J. Pollock,
“A 1930s Loan Rescue Lesson,”
Washington Post, March
14, 2008, p. A17;
7. Harriss, History and Policies.
9. Alan S. Blinder,
“From the New Deal, a Way Out of a Mess,”
New York Times, February 24, 2008;
10. Harriss, History and Policies.
11. James Butkiewicz,
“Reconstruction Finance Corporation,”
EH.Net Encyclopedia, ed. Robert Whaples, July 20, 2002;
12. Barrie A. Wigmore,
“The Crash and Its Aftermath: A History of Securities Markets in the United States, 1929–1933,” Contributions in Economics and Economic History, no. 58 (1985), p. 540.
1. The company placed the blame for these losses and its subsequent difficulties on military contracts arranged under the Total Package Procurement (TPP) procedure instituted by former Defense Secretary Robert McNamara, a system “designed to end overrun claims by setting a strict ceiling on the final cost of any project.”
2. The TPP was a fixed contract purchasing program instituted by the Defense Department where defense contractors would bid for military programs based on their expected development and production costs, and the government would pay only up to the contract ceiling. The losses involved in any contract would thus be shouldered by the contractor, with the government liable only for the ceiling price.
3. Nick Barisheff,
“August 15, 1971: Inflation Unleashed,” Financial Sense University, May 11, 2006;
4. “The Biggest Bankruptcy Ever,”
Time, July 6, 1970;
5. ”The Penn Central Reorganization Revisited—Again,”
News and Insights, DLA Piper, January 14, 2008;
6. “Chrysler’s Crisis Bailout,” Time, August 20, 1979;
7. “Chrysler Corporation Loan Guarantee Act of 1979: Remarks on Signing H.R. 5860 into Law,”
January 7, 1980;
A friend asked me an interesting question over the weekend: What was the thing about writing the book that surprised you the most? Lots of things about the process were pretty much as I expected. The deadlines, the structural changes, the battles with publishers/editors — were all pretty much as you would imagine. The importance…Read More
Hey, pretty cool: We got mentioned on the show last night (about the 2:30 mark)
If no video appears, go here
(Anyone know why these iFrames seem to disappear ? The code is : <iframe height=”339″ width=”425″ src=”http://www.msnbc.msn.com/id/22425001/vp/27917363#27917363″ frameborder=”0″ scrolling=”no”></iframe>
Here’s the video I did for the WSJ on Tuesday — it was the #2 video on the WSJ.com site yesterday:
“Barry Ritholtz, the writer behind the popular economics blog “The Big Picture,” discusses his soon-to-be-published book, “Bailout Nation.” He tells WSJ’s Christina Jeng the government might be too quick to come to the rescue and it might not even benefit the economy. (Sept. 23)
I did three segments Tuesday on Yahoo Tech Ticker at the Nasdaq:
Here is the last, on Bailouts, Fannie & Freddie:
Click for video
Bailout Nation: Paulson, Cox, Shorts Weigh in On Fannie, Freddie
Yahoo Tech Ticker, Jul 15, 2008 07:00am EDT