MBS are definitely here to stay.
They were not the reason for the bubble.
The reason for the bubble was REALLY simple…..
The entitlement attitude(& ignorance) of people wanting to buy something that they could not afford to pay for
BUT were willing to take risks that they did not understand.
Stated income was not the problem. Nothing down was the problem.
You cannot blame people who offer/create a service/product that people want to abuse.
The pity party for ‘victims’ is appalling.
On a micro level it’s no different than student loans or credit card debt but the principal amounts
are generally much lower.
Our entire system is a fragile house of cards.
It’s gone global. Debt is a disease that’s easy to catch. Makes ebola look like a tiny itch.
The entire premise is beyond scary if you really understand what has happened.
The entire concept of ‘Buy now, pay later’ is out of control. The faith in the 401K system is out of control.
The complacency & security & faith in the govt to fix problems that most people have is completely false & dangerous.
