Thank you!

Free market still has a role as other non-US banks bought up these bad loans that were sold to them as good ones. Banks also fraudulently reported income to approve loans increasing their profits and risk. Also banks rallied for less regulations which they got under Greenspan.

It may not be obvious, but many macroeconomic mistakes were actually made out of sympathy and humane causes. Recent technological advances renders the majority of people useless in an economic sense. Free market would instantly drive them all to suicide. There is no cure for that. Current and previous measures therefore are based on ignoring this terrible problem and prolonging the inevitable.

As long as the govt gives "certain" people, corporations, and entities "tax breaks," there will be no such thing as free market.

AdmiralYoshi ―よっしー提督― yes because the government forced investors to invest in mortgage backed securities. Come on

Thanks!

Moral hazard. The ratings agencies had no culpability to the actual validity of the securities. This made their stamp of approval kinda meaningless since they had no risk and had a… police investigating themselves effect

Can I get an update? I don’t follow Austrian politics

They already bailed them out. That’s what 2008 was. They did it again in 2020. And presumably will do it again with the next one. It’s insane

The credit rating agencies mis-rated the securities because 1. The didn't fully understand what was in them, 2. No one thought millions of people would stop paying their mortgages all at once, ad 3. The ratings agencies had to protect their business relationships with the banks as well as their profits.

Where can I learn more about this, I often get other Canadians telling me our regulation is what saved us

None their both socialist

lol, just cos you missed the boat

Who's Scott Green no. Fed won’t let it happen. Or should I say Rothschilds won’t let it happen.

Nez Ram Yeah, you sound like a dull witted black American, but I know you aren't. Someone else is the problem, yes? In your case, it's the "jews." Pathetic.

Michael No, just no.

Have you asked any minorities with barely any understanding of English that managed to get a mortgage? Ask them what happened. Ask them how they thought they can pay for their salary with minimum wage salary? Ask them how some were able to obtain a mortgage with no legal status in the US. Trust me, there were a lot of these scenarios. I'm not saying predatory lending is a leading factor, just a contributing factor. The mortgage sector was making boat loads of money and knew there was something wrong with it. So, do you think they're going to the government to tell them to regulate it?

Michael thank you for telling these dumb fucks the #truth

I settled this 2 months ago. Can't bail out stupid people for their mistakes. Recessions are ok when the system needs a reset, all Obama did was pay off a credit card with another credit card. The bill will come do.

So you're saying the banks are stupid or the people getting the loans are stupid? Keep in mind banks we're literally going bankrupt left and right. If banks were smart then wouldn't have lent money to subprime people.

Prove it

I belive, In Jesus, Honesty, Planning, Wiseness, Innovation, Hard work, Care, Love, Studying, Freedom, Free speech. Capitalism is the small part of the story

Yet, he still show the way that we should take care of each other. The "economy" is a result of our actions, as a society. We came first, not the "economy" . Should it be the opposite? We serve the "economy"?

Its a Plutocracy, and its narrowing to even less people by the time.

This is only ideological insomuch that he is viewing the issue through an Austrian lens. And that really only has to do with the prescription, the causes are pretty hard to disagree with. Keynsian - Predatory lending did this because there was no regulation to stop it Austrian - The government incentivized banks to implement predator lending practices, so they did. Regulation was not needed on this issue before because the banks regulated themselves; it was their money. The problem is still the same... just different sides of the same coin.

There's just one little problem in your attempt to bash left politics, which is, there is no left politics, there hasn't been any in the last 20+ years, nowhere in the world. Whether it's in the US, where democrats, republicans and libertarians are all right wingers: www.politicalcompass.org/uselection2016 Whether it's in Europe, where literally ALL governments are right wingers: www.politicalcompass.org/euchart Whether is individual countries, like France, where even the parties that literally call themselves "socialists" are in fact right wingers: www.politicalcompass.org/france2017 absolutely EVERYTHING that has gone wrong in politics in the last 20+ years is EXCLUSIVELY the result of right wing politics. If you wanna contest that, by pointing to political parties that define themselves as left, at least try using your brain for a few seconds. Absolutely wordwide, literally EVERYWHERE, even including China and Russia, also including countries like Greece, where a real left party won the election and got turned into right wing politics within days after the election, do the EXACT same politics, out of which the rich get richer and the poor get nowhere. Tax cuts after more tax cuts for the rich, cuts in social services for the poor, how could that possibly be anything remotely conected to left politics? Ahhh ..... hold on ..... as already mentioned above, there is a left wing country and I believe THAT is why it has been about the ONLY country in the world that never had any major crisis throughout it's entire history and that's still Switzerland.

Curious, IFFFF the US is an unsustainable welfare state, while it doesn't even have health care for everyone as a basic human right, doesn't even have a social security minimum paid by the state in case anyone has no income, doesn't even have 10 days of paid vacation per year (other than xmas holidays), how come Switzerland can afford to - have an effective (without even needing a law about it) minimum wage of $25 an hour - have guaranteed health insurance for EVERYBODY, including poor people for free - have near not existing unemployment - have SEVEN WEEKS of paid vacation a year as a law for ALL workers - have parental leave for mother AND father for up to THREE YEARS in case they have a baby - and so on and so on and so on, the list is endless All of that easily afforded, continually over HUNDREDS OF YEARS without EVER getting into a serious crisis, even as a neighbor to Nazi Germany during WWII not getting into any trouble, in a country that is considered one of the richest per capita in the world. How can that be, unless your right wing ideas are complete nonsense? Compare these two and then tell me, IFFFF the US is left wing, then what is Switzerland? Actually I can give you one tiny example of how the Swiss accomplish this. Switzerland makes ALL political decisions by referendums, politicians themselves have no power whatsoever, they are plain representatively executing the will of the people, which on first view takes all corruption out of politics, because there is no point in bribing someone who has no power of making decisions. Switzerland has a publically owned and financed set of TV and radio stations, where ALL citizens have to pay a given fee per year to pay for that. Recently right wing movements tried to hold a referendum about abolishing this mandantory fee, arguing the typical right wing way of free market and junk like that. The Swiss have with a 2/3 majority voted to keep the fee, because the Swiss have understood that if you leave the media exclusively to privately financed media corporations who run right wing propaganda, that's the end of objective journalism.

Here is an actual 700 page report commissioned by the United States and done by a number of economic professionals that I've read on the topic of the Financial Crisis. www.gpo.gov/fdsys/pkg/GPO-FCIC/pdf/GPO-FCIC.pdf I've also read number of counter-arguments to Peter Wallison's dissent on the issue. The report underlines that the primary causes of the crisis were irresponsible private sector actors, a breakdown in regulatory agencies and officials, and a failure of accountability and ethics. Was the Government faultless? Of course not. However, painting this crisis as a result of excessive regulations and an invasive Gov. is not only disingenuous, its lazy. Which is understandable considering this video is meant to be an ideological justification rather than an honest attempt to explain the crisis, which would take many more minutes than 20.