Regarding the heated argument on this thread: http://www.elitetrader.com/vb/showthread.php?s=&threadid=158282&perpage=10&pagenumber=14
1. American voters (thus the gov't they elect). 2. The Federal Reserve System 3. The ratings agencies (S&P, Fitch, etc.). 4. The American educational system.
I knew a coke head that was getting eight grand for every loan he placed. He had lots of people scouring their neighborhoods for anybody at all that would fill out loan papers on a house. They left a lot of it blank, he filled in the numbers that he knew would work and he had his blow money. The people taking the loans had little understanding of what the deal was imo, they just saw a shot at buying a house and that was something they never dreamed they could do... one girl was making about minimum wage and she was in foreclosure after only about three months. I never found out what that was all about at all... the whole thing was just nuts....
Last night's South Park- I think you'll like this: http://www.southparkstudios.com/news/3631 ...especially their behind the scenes look at the U.S. Treasury Department's sophisticated process for determining the best course of action when faced with a failing insurance company- That scene was just instant-classic! The 45 second clip: http://www.youtube.com/watch?v=8IHfQoxz-Gc
It's more like "Do I know the executives of the insurance company by first name?" "Yes I do, bailout"