Burning Down The House: What Caused Our Economic Crisis?
On Sunday, the 28th, I posted a video entitled 'Burning Down the House' that has since been pulled by YouTube. Below is an updated version. HF
Burning Down The House: What Caused Our Economic Crisis?
http://www.youtube.com/watch?v=1RZVw3no2A4&feature=iv&annotation_id=event_597487
September 30, 2008
This video is an informative look at the factors that are causing our current financial and economic crisis. It discusses policy changes 13 years ago that unleashed the sub-prime mortgage-backed securities market, which accelerated prices erratically, inviting speculation and loose lending practices which were both condoned and encouraged by existing regulation and carried out by risk-blind executives and Fannie Mae and Freddie Mac.
A good part of the housing crisis is due to overextended credit cards, and then borrowing against gain in home values. What else? Air Miles, to encourage consistent use of plastic, making it a habit, then a little trouble, extra expenses, and people fall behind.
You'll find it on my website. I've been following this trend and writing about it since 1991.
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