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Now, with Bear gone and Lehman seemingly headed in that direction, Blankfein had good reason to be worried. And a year later, it appears that many of the steps he took in the midst of the crisis laid the groundwork for the market
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By this point, he and I both doubted that he could make a deal with the Chinese, although I reassured him I would raise the issue directly with Vice Premier Wang Qishan that evening. Democrats would not release it without an auto provision, and Republicans would not approve it if it contained an bailout auto. I began by telling the president that the Fed and Treasury were preparing to take some extraordinary steps and that we were going to need to get special powers from Congress.
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