It is all scary. "The Greenspan policies that led to this have been the most irresponsible episode the world has ever seen," he said."
That is a significant statement. In an article I posted yesterday, it showed that Bear Sterns, Citigroup, et al, were trading in these "new-fangled instruments" and forms of derivatives they did not even understand to the tune of $hundreds of billions, and had been for some time. So it is not just the mortgage crisis -their whole financial system is incompetent and corrupt. How could they go so long without a regulator asking questions? Also, it was mentioned that debt to the tune of tens of Billions of $$ generated by these trades do not show up on financial statements of institutions, leading shareholders to believe their situations were rosier than they are. Isnt that a corrupt practice?
And I dont think Britain is fully aware of its exposure yet.
