"ON A LONG ENOUGH TIMELINE, THE SURVIVAL RATE FOR EVERYONE DROPS TO ZERO"
Nice video. If we play it backwards, can we unwind the whole mess??
very good. don't forget to watch part 2
Everyone needs to see this .. maybe twice. Great work by those that took the time and effort to produce this. I'll be posting links wherever I can. And like the previous commenter, make sure you don't miss part two. I can imagine that's easy to do for most people.
so where is part ??????
You didn't mention a small part of the bubble. Well, you mentioned "rising house prices", but it would work well to mention that easing credit in the mortgage market leads to higher house prices.Also, its not just foreclosures that are driving down house prices; with tighter lending standards, potential buyers at say $300k aren't bidding against $50k/year with no money down. So the price drops down according to supply-demand curves. Additionally, bank-owned properties are much less sensitive to price, since the bank has a large need for cash now, as opposed to a homeowner who will refuse to sell at a price that won't let them finance a move.
This whole video left out the main parts where the investors, bankers, and such had to bride people like Barney Frank, Chris Dodd, and Chuck Schumer to look the other way and keep Fannie Mae and Freddie Mac making the market on this worthless debt.
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