By now, many people are wondering why did the American government save AIG, but abandon Lehman Brothers. There is one factor that many don’t know- the “China Factor.” According to some Chinese sources, Beijing pressured to Washington to save AIG because a majority of Chinese companies and institutions including insurances, banks, and government, were heavily invested in AIG. If AIG were to enter bankruptcy, China would have to sell its US bonds to make up their losses. That was one crucial factor in Washington saving AIG, but not Lehman Brothers.