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Technology Stocks : Rambus (RMBS) - Eagle or Penguin
RMBS 88.13+1.0%Nov 21 9:30 AM EST

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To: MileHigh who wrote (11055)12/3/1998 4:58:00 PM
From: Timothy Liu  Read Replies (1) of 93625
 
> If they make a killing speculating, good for them. If they lose it all, that was their decision to take on all the risk to begin with.

The problem is when they 'lose it all' they take others with them. They can't pay mortage so the bank has to foreclose. Sooner there are more house than buyer and real estate plunge. Bank holds bad loans and non-liquid real estate and they go under. Money center banks now has bad loan to these smaller banks and they go under. This is how Japan become what it is today.

Tim
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