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So from the last graph, any financial instrument that included mortgages that only worked  on the assumption that house prices would continue to rise that was sold since 2005 was sold fraudulently?  and anyone who actually brought one since that time was negligent in not checking? (beyond base stupidity in buy ing such things in the first place)

Any idiot can face a crisis - it's day to day living that wears you out.
by ceebs (ceebs (at) eurotrib (dot) com) on Thu Feb 12th, 2009 at 07:38:35 AM EST
It is not a wonder that the expected fraction of nonperforming mortgages issued since 2005 beggars belief.

Most economists teach a theoretical framework that has been shown to be fundamentally useless. -- James K. Galbraith
by Migeru (migeru at eurotrib dot com) on Thu Feb 12th, 2009 at 08:14:49 AM EST
[ Parent ]
But of course no one saw the financial crisis coming.

Any idiot can face a crisis - it's day to day living that wears you out.
by ceebs (ceebs (at) eurotrib (dot) com) on Thu Feb 12th, 2009 at 08:23:53 AM EST
[ Parent ]
the actual one



In the long run, we're all dead. John Maynard Keynes

by Jerome a Paris (etg@eurotrib.com) on Thu Feb 12th, 2009 at 08:24:47 AM EST
[ Parent ]
That does tend to suggest that the crisis has been occurring for far longer than politicians would like to suggest.

Any idiot can face a crisis - it's day to day living that wears you out.
by ceebs (ceebs (at) eurotrib (dot) com) on Thu Feb 12th, 2009 at 08:28:14 AM EST
[ Parent ]
The "expected" one hovers around 2/3...

Most economists teach a theoretical framework that has been shown to be fundamentally useless. -- James K. Galbraith
by Migeru (migeru at eurotrib dot com) on Thu Feb 12th, 2009 at 08:40:35 AM EST
[ Parent ]

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