A poster in this thread suggested the GSEs were to blame.So now that we agree that the agencies played a large role in the crisis...….Yeah, and it required $182 billion to bail out the private insurer AIG. And another $350 billion to bail out the rest of the banks. Not to mention the nearly $2 trillion in quantitative easing to prop up the entire private banking system.Not the GSEs MBSs which are guaranteed against default.
And that guarantee only required $187 billion in TARP bailouts and a government takeover.
Yeah, and it required $182 billion to bail out the private insurer AIG. And another $350 billion to bail out the rest of the banks.
Yup. So now that we agree that the agencies played a large role in the crisis...….
We can stop pretending it was entirely the fault of the agencies.
Who ever claimed that it was?
But when you add that much demand for crap......a supply springs up, that's for damn sure.
Well, they did hold $1.2 trillion in crap mortgages by 2002.
That's a huge chunk of the crap market.