[sloop]

But if every mortgage written as a result of that order had gone bad you couldn’t have had the subprime crisis simply because the number of mortgages involved isn’t large enough. It took the financial firepower of Wall Street to turn the subprime industry and its related derivatives into a trillion dollar industry whose collapse could take down the world’s economy.

i just flat out don't believe that

[Wyatt's Torch]

But if every mortgage written as a result of that order had gone bad you couldn’t have had the subprime crisis simply because the number of mortgages involved isn’t large enough. It took the financial firepower of Wall Street to turn the subprime industry and its related derivatives into a trillion dollar industry whose collapse could take down the world’s economy.

i just flat out don't believe that

I certainly believe this, The mortgage derivatives levered up the pure risk of the mortgages many fold (20X? 30X? - not sure). The losses on the pure mortgages would have been magnified many, many times over for the derivatives associated with them. But again, no CRA and Justice intervention, no bad mortgages and the derivatives never exist.

[advertising guy]

missin in this discussion is the outside influences

Soros, hedge funds , skimmin money to the middle east and europe

also missin is the home turn over fraud with ghost vice presidents and bogus documents

lastly, the numbers we all comment about are cooked

there is no accurate bottom line spread sheet

[Pelham]

“i just flat out don’t believe that”

The numbers were run a couple of years ago by Lazard in a research paper for their investors. Lazard is a Wall Street investment house and the study is only concerned with what the data tells them so that they know what securities to avoid. There have been other studies that come to the same conclusion.