It would seem that now Obama can stop blaming poor people for the housing bubble collapsing. There is not now nor has there ever been a "Sub-prime Mortgage Crisis." It was an "ARM Mortgage Crisis."
New data suggests that adjustable rate mortgages are foreclosing for both prime and sub-prime at the same rate.
Naturally it spun a better tale to say that the deadbeats who were too poor or too drug-addled or too jailed to be recipients of the "prime" moniker were the bastards responsible for our recession. Unfortunately for us, the problem is not that simple/ridiculous.
It wasn't just that "poor people got drunk," it's that "everyone got drunk" at the same time.
Not only does this point to the devastatingly largeness of the bubble but it also begs the question even more: How did this problem get so big? What fundamental factor do all these people, neighborhoods, banks, and interest rates all have in common?
The supply of credit, maybe? Thanks Greenspan. For everything. (25,499)
Occupation: Daniel is a 3rd year Medical student. Prior to medicine, he worked in IT as a consultant, programmer, web designer/developer, and technician.
It would seem that now 
Share
