Absolutely, everybody loved it, which is exactly why it was able to grow the way it did.
Still, never believe for a moment that people didn’t know what was going to happen. I’ve spent many, many days reading through very dry, boring, long memos and reports from within the Fed (you can find them on their site) and other entities, and people were very much aware of the problems even going back to 2002-2003 (before that, in some cases, but the alarm bells were ringing in 2002/2003).
I’ve also seen and heard too many stories where they were trying to silence those who were trying to warn everyone — within OFHEO, HUD, the OTC, the Fed, state regulators, financial firms, mortgage firms, etc., etc.
Call me a conspiracy theorist (I really don’t mind 😉 ), but this was no accident. No way anyone can convince me otherwise.
