Quote:
Originally Posted by Rochard
But targeting Wall Street is both vague and misleading. Wall Street itself did not cause this crisis, nor did the majority of the companies trading on Wall Street. GM, for example, had nothing to do with the crash of the housing market.
It's not Wall Street or the rich who caused this. It was the average homeowner. Anyone who bought a house and then sold it three years later for twice the original sale price is guilty. It's not the bank's fault - it was win win for them and yes, they made a profit. It was the greedy fucking homeowner - myself included - who caused this.
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1/2 right and 1/2 wrong. Wall Street did cause this (Read "The Big Short" by Michael Lewis or "House of Cards" by William Cohan) along with the fools that bought a $700,000 home, no money down on stated docs when they didn't have the resources to pay for it.
Mortgage companies would not have been doing predatory lending and offering idiots houses they couldn't afford if Wall Street hadn't found a way to package and sell these subprime mortgages as AAA rated credit default swaps and bullshit investors (with the help of Moody's etc.) into buying them. They created such a demand by lying about them, that it caused a greed rush.