There WERE warning signs, rodguy, as demonstrated by the efforts of President Bush in 2003 and Senator McCain in 2005, not to mention the forced resignation of Franklin Raines from Fannie Mae.
I think that the financial reporters ignored it as they have a vested interest in people buying stocks rather than sticking their money in CD’s. (After all, how much of a show can you make out of varying interest rates on CD’s?) In addition, because most of the news media is democrat, they were very willing to ignore this DEMOCRAT CAUSED financial mess.
Anyway, that’s my opinion.
Makes really good sense MM.
“I think that the financial reporters ignored it.”
I totally agree with this. The SEC is incompetent. Totally, and Cox should be fired. They allow completely bogus assets to be reported on 10-Ks and 10-Qs. Cramer is dead wrong on this. They continue to permit blatant Reg FD violations, which are widespread. They instituted option expensing, which is an idiotic accounting notion, under political pressure.
Added to that I suspect many thought they were too big to fail and in retrospect they probably were right because they knew as has been proved that the US could not and would not let them ultimately fail.
They have failed in one sense
Franklin Raines, Jamie Gorelick, Jim Johnson........heck those running it were in it up to their secret bank accounts.....they walk away unscathed and the taxpayers are left footing the bill. We can thank Clinton for another fine mess. And Obama was in it up to his flip flopping ears. Just another phony boon that Clinton was responsible for.