As a teaser to my readers, here are some highlights of the Great Recession. For starters, the following are a very few events, situations or dilemmas that happened and may be still unfolding. These are for real. If one were to write a novel perhaps Steven King would be a great author of the book! Here it goes:
- The collapse of Lehman Brothers
- The bailout of AIG
- The bailout of GM
- The fire sale of Merrill Lynch
- The manipulation of LIBOR rate
- The slicing and dicing of home mortgages into derivatives
- The collapse of the housing market
- The student debt crisis
- The London Whale and the Flash Crash event in year 2010
- Liar mortgage loans
- Congress writing new rules (Dodd-Frank Act) to replace the Glass-Steagall law revoked in 1999
- Too big to fail: Shoring up the banks with extra guarantees
- Federal Reserve Bank lowers fed funds rate to near zero% and it’s still there in year 2015
I will blog more details and offer links to detailed descriptions of these events or situations. This list is not complete by a long-shot. Enjoy the ride along with me. You may be inspired to do some research on your own about some of the issues.
July 19, 2016: I have inserted several blog links since this article was first written (July 2015). Enjoy them at your leisure, it’s a lot to digest… but then again A LOT has happened hasn’t it!