I've been watching this mess unfold for the past decade, from the predictable melt-down of the "New Economy's" worthless dot-com stocks, followed by the Fed's gutter-level prime rate bail-out of Wall St (by two successive Fed chairmen). Incredibly, that money was re-packaged into the most ill-conceived and convoluted "investments" as to make risk-assessment nearly impossible—but rate it "AAA" anyway, nice.
Yale's
Robert Shiller deserves credit for calling this fiasco early on, but few were listening. That's because "money was to be made", from the wannabe real estate "investor" flipping condos, to major banks selling poorly securitized mortgages, with the media shills hyping such activity to their own profit. Now, it appears to be
inexcusable stupidity—where the full gamut of society was involved, where subprime is only the beginning of resets.
I can only guess there's a lot more damage to come--and a better analysis in retrospect of the key causes. If you ask me--leadership turned a blind eye, from Wall St., govt., to corporate America.
