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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?


To: gladman who wrote (16799)4/27/2010 11:10:04 PM
From: ahhahaRead Replies (1) | Respond to of 24758
 
FED is more guilty of that than GS. Indeed, all of the financial entities creating securitization were complicit, but only to a minor extent. Can a CDO exist without securitization? No.

I keep coming back to the true culprit: greedy Americans from all levels seeking the sure thing that had been sanctified by intent of Congress over 50 years. Who could resist RE inflation? Was it even possible to resist it? When you have a guaranteed return with no perceived risk you will have distortion that creates an environment that dermands "easy credit".

In that case FED or a free market in money has to make the cost to play too high. Since FED wouldn't since they have their two to serve, and free market is basically outlawed, it's only a matter of time, not 75 years, before another smashing financial crisis hits.