Streams

Remember the Savings & Loan Crisis?

Friday, October 03, 2008

Find out what the Savings & Loan crisis of the 1980s and 90s can teach us about our current financial problems. Investigative reporter David Cay Johnston is author of several books, including Free Lunch; Michael Santoli is Associate Editor of Barron’s magazine.

Guests:

David Cay Johnston and Michael Santoli

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Comments [3]

Rich from North Jersey

What if there were no crisis and the govt infused an 750 bill portfolio into the economy? Perhaps much less is more fathomable..., but what effects would the govt regularly investing have on the economy? Would it prevent future crisis? Should the govt make this a practice? Do other govts do this? Just curious.

I think we should pay close attention to "who" actually gets this money.

Oct. 03 2008 01:37 PM
Jaime from Queens

Once you are the holder of the paper on assignment you can call it due with little pretense. How will we prevent asset picking, packaging, preferred purchasers (liquidity requirements keep riff raff out of market), all of which will only become a scandal after everything has been stolen,

You have to give it to the Bush administration. They not only figured out how to steal everything we had, they figured out how to steal everything we will have for generations to come.

How do you define treason?

Oct. 03 2008 12:36 PM
Jaime from Queens

One of the effects of the S&L crises was that many of the mortgagees that where performing on loans had them called in by the resolution trust because the determination was made that the bank was under financed. These properties, for which replacement loans where not available, where packaged up and sold to real estate trusts that then sold them at massive profits and then became the institutions which we are bailing out now. What makes you think this will not play out the same?

Oct. 03 2008 12:27 PM

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