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World Report: September 26, 2008 Vol. 14 No. 4

This Issue:
Table of Contents
Cover Story
Cover Story - Spanish Version
Mini-Lesson
Comprehension Quiz
Teacher's Guide and Worksheets

Wall Street's Woes

Last week, big companies on Wall Street stumbled. Wall Street, in New York City, is the center of American business. It is where stocks, or pieces of companies, are bought and sold.

On Monday, Lehman Brothers, a 158-year-old investment banking firm, filed for bankruptcy protection. Lehman made loans that could not be repaid. So the company could not pay its bills. Lehman now has time to find new ways to do business, without paying the bills. Still, thousands of employees lost their jobs.

The next day, the U.S. government agreed to make a huge loan to AIG, an insurance company. AIG could not pay its debts. The bailout, or loan, will cost taxpayers $85 billion. But AIG can stay in business.

Now, the way the government manages money and makes rules about business has become a big part of the presidential race.

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