This is a thread for your opinions about the reasons of the chaos in the financial world; ideas what should be done and what shouldn't be done; predictions for the future.
If you want to see how hundreds of Americans react, see e.g. Housing Panic.
Even Lakshmi Mittal lost about USD 35 billion and may soon die of hunger, assuming that the remaining USD 20 billion are not enough to buy food. ;-)
Incidentally, this is a cute piece of history: on June 28th, 2008, we voted in a TRF poll what is the most serious threat to the world economy. Two percent of the respondents answered that it was the housing slump - which is how we called the current problem at that time. Well, it would probably be somewhat more today. Three months can make a lot of difference.
Three years can make some difference, too. Look at the November 2005 video above in which Ben Bernanke explains Paul Sarbanes (a skeptical Senator) how derivatives and hedge funds are sophisticated, safe, and creative. I suspect that his confidence would be somewhat lower today.
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