More than four years after the 2008 financial crisis, public trust in banks is as low as ever. Sophisticated investors describe big banks as “black boxes” that may still be concealing enormous risks— the sort that could again take down the economy. Jesse Eisinger's investigation, written with Frank Partnoy, is called “What’s Inside America’s Banks” and appears in the January/February issue of The Atlantic.
ProPublica’s Jesse Eisinger looks at the early days of Bain Capital, the private equity firm that Mitt Romney ran in the early 1990s. The firm’s work in turning around Staples is well known, but Bain was also sued several times for buying companies and selling them for a profit, without paying a finder’s fee.
ProPublica’s Jesse Eisinger and Jake Bernstein, who were awarded the Pulitzer Prize for National Reporting for “The Wall Street Money Machine,” talk about the series, which examined how some hedge funds and banks worsened the financial crisis while making a hefty profit for themselves. It’s ProPublica’s second Pulitzer in only its third year of publishing investigations, and it’s the first Pulitzer to be awarded to a group of stories that were never published in print.
Federal Reserve Chairman Ben Bernanke is in Jackson Hole, Wyoming today at the annual meeting of economists and central bankers. Bernanke will address the group with a speech entitled “Reflections on a Year of Crisis.” We speak with Jesse Eisinger, a senior reporter at ProPublica, asking him to provide his own reflections on Bernanke's actions during this economic "year of crisis."