As always, excellent post about Greenspan. Please look at the following link which is a report from a California mortgage broker stating the sub prime is only 25% of the mortgage meltdown at least in California, Florida and other states which have 'real estate bubbles'. I am impressed with his explanation of how all real estate mortgages have been part of the increase in the real estate values and how a 50% reduction in home values is the only way there will be a viable real estate market unless wages go up significantly which we all know won't happen. Sounds like the central banks don't realize what is coming or realize it is coming but are putting a 'bandaid' on the problem when 'major surgery' is required.

The link is:
http://blogs.marketwatch.com/greenberg/2007/12/straight-talk-on-the-mortgage-mess-from-an-insider/