Hey Rush, is there anything you forgot to mention in this story?
It’s not what he says, but what he doesn’t say that’s enlightening. In Rush’s Story One yesterday (last week) Rush again pointed out how the idiots were running Obama’s economic recovery. Specifically naming Lawrence Summers (Obama’s Director of Economic) as the “idiot” responsible for Harvard University losing 1.8 billion in it’s endowment fund because of his “too aggressive” investment policies while he was the University’s President.
The facts that are true in this story: Summers was Harvard’s President and during the recent downturn the endowment value lost 1.8 billion dollars.
The facts that are missing from the story: Summers was Harvard President from 2001 to 2006. He left two years before the current bear market. During his Presidency the endowment grew from $17 to $30 billion and continued to grow after Summer’s departure to $35 billion before it fell to it’s current $33 billion. Bottom line the endowment almost doubled during and shortly after Summers’ Harvard Presidency.
That’s the kind of “idiot, egghead” (Rush's words) I want looking after my finances.
This isn't my first try at debunking a Rush story. In fact I try to do it every few weeks just to confirm my belief that Rush lies to his legion of worshippers who obviously never take the time look through his smoke and mirrors.
Bob
Sources:
I reprinted the Rush transcript as printed on his website rushlimbaugh.com, November 30th, 2009 below. I’ve also attached a link to the “Boston Globe” story linked to as the source for Rush’s comments. ( http://www.boston.com/news/education/higher/articles/2009/11/29/harvard_ignored_warnings_about_investments/?page=4 ) And to be totally fair, the article had some reasonable critisism of Summers operating cash, investment policies during his tenure as President, but fell way short of Rush’s claims of his being an idiot. Example: the article states “Even with the losses, Rothenberg said, the cash strategy has earned Harvard returns averaging 8.9 percent over the past 10 years. He and other university officials say the cash pool is still ahead of where it would have been, if invested more conservatively all along. But no one could be specific about what that net gain has been.”
