Posted by Nadezda on October 1, 2008, at 16:41:59
In reply to Re: Oops-- there goes the economy... » Bobby, posted by fayeroe on October 1, 2008, at 14:30:40
I don't believe it was a conspiracy; it was a combination of greed, irrational belief in the upside of bad loans, and unsecured debt, and looking the other way when problems arose. Inevitably, luck ran out, and the riskiness of years of bad business decisions finally led to this outcome. Years of decreasing to no regulation and the long period of economic expansion, led to the downturn's devastating swiftness, because the people involved lived in their own little bubble of profits and infatuation with risk.
It's hard to know what would happen if this weren't going to affect everyone-- not only wall street-- but what people on "main street' don't see is the impact of this whole thing on their lives. I'm not sure why it hasn't been adequately explained-- maybe the blindness of many people in power to the perspective of everyone else--or the shocking swiftness of the unraveling of the system.
Nadezda
poster:Nadezda
thread:854180
URL: http://www.dr-bob.org/babble/poli/20080728/msgs/855126.html