Could You Manage $700 Billion?

Today a legislation will go through the house deciding whether or not Treasure Secretary Henry M. Paulson will get amazing power in controling the $700 billion bailout budget.

If passed, essentially Paulson will be able to buy what he sees fit at whatever price. This ultimately means that he does not necessarily have to buy securities at the lowest market price. There will be a couple boards to oversee his actions; however, he is not always required to seek approval from them.

Personally I could not imagine handling $700 billion of the COUNTRY’S money, especially with the salary Paulson is receiving. He works for the government after all. So unlike hedge fund managers who receive millions upon millions in salary and bonuses, Paulson won’t receiving any commission. I’m sure he has enough money already from his days with Goldman Sachs.

In the long run, the reward for this type of power could obviously be very high yet very risky. If it works out and he successfully manages the $700 billion, then the rewards are endless; however, it is very easy to fail or even just one mess up, especially with the entire country watching.

Already the man probably has not slept for a couple of months, and it looks like he won’t anytime soon. Would you want to be in Paulson’s shoes? Could you manage $700 billion of the country’s money?

I’d just take the money from Goldman Sachs retire.

Read more about the new proposed legislation at the NY Times.