Pushing?? They mandated those loans!! Fricking leftists managing the economy for us!! It was land reform!! When is the last time that worked, anywhere?? All this intervention is probably what is driving all the greed, " if the government is going nuts I might as well get as much as I can as soon as I can" That's actually my motto nowadays, I've seen enough.....
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
What Caused Our Economic Crisis?
- Thread starter ddog
- Start date
Pushing?? They mandated those loans!! Fricking leftists managing the economy for us!! It was land reform!! When is the last time that worked, anywhere?? All this intervention is probably what is driving all the greed, " if the government is going nuts I might as well get as much as I can as soon as I can" That's actually my motto nowadays, I've seen enough.....
If you try to spend more than you make for 40 or 50 years on end, eventually it gets to where when you want to borrow an ADDITIONAL $3 BILLION EVERY DAY, that lenders start worrying about risk. First with the people, then banks and financial corps, and next with our government.
I'll take a shot but I'm no expert. Think for a second...WHO is getting bailed out? Subprime mortgage owners? Nope. Wall Street investment banks that lobbied for deregulation of banking laws that allowed them to access mortgages and create derivatives from these mortgages and then use massive leverage to buy and sell these derivatives and repeal laws that permitted them to insure these derivatives? Yep, that's who's getting bailed out. Maybe I'm making this more simple than it really is, but Wall Street NEEDED every mortgage they could get to create, buy, and sell these investments that were backed by mortgages of US homeowners. Local banks didn't care about the risk because they were just flipping mortgages to these huge banks so that they could package them up. More mortgages equaled more flipping fees for the local banks (at no risk to them). More mortgages equaled more "created" CDO's and MBS's on Wall Street. Good loans. Bad loans. And everything in between. Loans. Loans. Loans. Everyone qualified for a loan so that investment banks could make more investment vehicles available. They didn't care who got a loan. They were making billions. But the party ended when real estate turned south. The derivatives were rotting from the inside. The very thing that had created so much wealth for Wall Street was now a cancer. Add in the leverage that these banks used and the recipe for disaster was complete. That's my take on it.Quote from Fractals 'R Us:
...what is your opinion of what caused the crisis?
Quote from MiniDowTrader:
I'll take a shot but I'm no expert. Think for a second...WHO is getting bailed out? Subprime mortgage owners? Nope. Wall Street investment banks that lobbied for deregulation of banking laws that allowed them to access mortgages and create derivatives from these mortgages and then use massive leverage to buy and sell these derivatives and repeal laws that permitted them to insure these derivatives? Yep, that's who's getting bailed out. Maybe I'm making this more simple than it really is, but Wall Street NEEDED every mortgage they could get to create, buy, and sell these investments that were backed by mortgages of US homeowners. Local banks didn't care about the risk because they were just flipping mortgages to these huge banks so that they could package them up. More mortgages equaled more flipping fees for the local banks (at no risk to them). More mortgages equaled more "created" CDO's and MBS's on Wall Street. Good loans. Bad loans. And everything in between. Loans. Loans. Loans. Everyone qualified for a loan so that investment banks could make more investment vehicles available. They didn't care who got a loan. They were making billions. But the party ended when real estate turned south. The derivatives were rotting from the inside. The very thing that had created so much wealth for Wall Street was now a cancer. Add in the leverage that these banks used and the recipe for disaster was complete. That's my take on it.
Around end of JUN06 it was pretty clear that the securitization of and by the quants was a one way street. Dummies hired dummies as you say.... LOL.....
It is so mellow it isn't funny. The quants worked for sales organizations that wanted products to extract commissions on.
The naked CDS's are the classic of all classics.
As a sailor if I get a boat at a fire sale I want to really get the smell out before I begin overnighting. An additional home in Maine along the coast will be nice too.
good video, but isn't that video belongs to McCain supporters ?
Is anybody here expecting hyperinflation in the US?
Quote from Renegen:
What a shitty video ddog, republican propaganda. I also think most people in this forum know way better what caused the crisis than the BS peddled in that video.
Gotto agree it was a shitty video.
All about pumping music to get access to your mind.
Typical advertisers ploy, use emotions so you make (wrong) decisions.
I decided to let the music play while I cooked a meal, watching was a waste.
And even the music was, admit it, half baked.