tuhaybey
Well-known member
- Joined
- Sep 21, 2014
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These bankruptcies were the foundation of the financial crisis and subsequent "great recession". We ALL paid for these defaults.
No, no, no... Bankruptcies have nothing to do with the recession. Some on the right argue that US borrowers taking out overly large mortgages and then being unable to pay them played some role in the recession, but most economists don't consider that one of the major causes at all. Keep in mind that the recession was global, so nothing that occurred only in the US is likely to be a primary cause. The reason that whole mortgage line is popular in a certain segment of the population in the US has more to do with the fact that they prefer to spin the recession as somehow being poor people's fault when obviously that is pretty absurd that poor people would somehow trash an economy almost entirely controlled by rich people.