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  • Essay / Analysis of Liar's Poker - 1392

    The book Liar's Poker begins in 1986, the first year of the Salomon Brothers decent company, with Michael Lewis and the rest of the employees confused by the characteristics of their boss John Gutfreund. Gutfreund was known throughout the company for causing a sudden chill to run through the bones or, at Lewis, expressed it "like the nervous tic of a small furry animal at the silent approach of a grizzly bear" (Lewis 120) . What confused the employees was that Gutfruend usually hovered quietly above everyone with his cigar droppings everywhere; Today, however, he headed straight for John Meriwether's office. Meriwether was known as one of Solomon's top bond traders. Gutfruend approached him and whispered, “One hand, a million dollars, no tears” (Lewis 127). What Gutfruend had muttered meant that he had challenged Meriwether to a gambling game called Liar's Poker. The game Liar's Poker consists of a group of people forming a circle. Each player holds a dollar bill to their chest. Each player attempts to deceive the others about the serial number printed on the front of their own bill. A trader begins by making his own bid and attempts to guess a certain amount corresponding to each player's dollar. An example from the book started the auction with three sixes. Counting each player plus himself, each serial number contains at least three sixes. In 1984, Michael was living in London to complete his master's degree in economics at the London School of Economics. He received an invitation to dine with the Queen Mother. He was seated between two female general managers of Salomon Brothers. Trying to remain calm, they began questioning him and then offered him a job working for Salomon Brothers. Economy satisfied...... middle of paper...... I did it. Lewis broke down each scenario really well and made the book fun and informative. Learning how the bond market worked was also interesting. The facts he wrote explain why the bond market exploded, one being that the Fed announced that the money supply was going to be fixed and interest rates would float. And America was borrowing money faster than ever. This book made me think a lot about how things worked in this field and also made me research certain aspects to understand the content. Although there was a lot of financial information, I appreciated the way he discussed the environment and personalities throughout his experience. His writing style is unique, which piques my curiosity to read another book by him. Lewis, Michael. Liar's Poker: Rising through the rubble of Wall Street. New York: Norton, 1989. Kindle file.