If anybody asks you...

[BoredBloke]

solar power is new-fangled?

Surely not - the sun has been around for years - even up north

[DaveB]

so its greenspan's fault - he would only give investor's a 1% return? and investors could not buy equities because? or they could not invest in solar power, wind power, fuel efficiency schemes etc etc etc?

what kind of investors are these people who can only see treasury bills ($$$$)???

The investors in question were the pension fund managers and other investment managers who didn't want to take risks with their clients money.

Treasury bills are a risk free AAA investment, but at 1% made the returns extremely unattractive. So poor that the funds would have actually lost money on them by the time inflation is taken into account.

The CDO's offered by the banks were also supposed to be AAA rated investments but offering a 4% return, so the investors bought them in huge quantities. It all went down hill from there.

[Mich the Tester]

It's all about the risk - investors don't like risky new-fangled solar power.

solar power is new-fangled?

[Moscow Mule]

so its greenspan's fault - he would only give investor's a 1% return? and investors could not buy equities because? or they could not invest in solar power, wind power, fuel efficiency schemes etc etc etc?

what kind of investors are these people who can only see treasury bills ($$$$)???

It's all about the risk - investors don't like risky new-fangled solar power.

They like high-risk packaged as low risk even less, but that's a different point.

[MPwannadecentincome]

so its greenspan's fault - he would only give investor's a 1% return? and investors could not buy equities because? or they could not invest in solar power, wind power, fuel efficiency schemes etc etc etc?

what kind of investors are these people who can only see treasury bills ($$$$)???

[BrilloPad]

It a very good video : though I have an even better powerpoint slide.

[Foxy Moron]

I told anyone who would listen this bubble would burst dramatically, when house prices started going balistic (early 00s), and people would laugh, and go obout supply and demand etc. It was obvious the rises were caused by little more than the supply of cheap money and the likes of self cert 125% motgages! People were blinded by their own greed, the whole market acted stupidly, with little concern for value or common see. All bubbles end in disaster, this one even managing to bring down the financial system, was nobody looking at the potential downside?

[chris79]

Good that, thanks.

[NotAllThere]

.. why the credit crunch happened, point them here.

http://Crisisofcredit.com/ ...

Oh smeg. We're doomed.

[mailric]

i dont know whether to laugh or cry

[Sysman]

.. why the credit crunch happened, point them here.

http://Crisisofcredit.com/

It's so simple, even my wife understands it now.

Excellent thanks.

[Moscow Mule]

.. why the credit crunch happened, point them here.

http://Crisisofcredit.com/

It's so simple, even my wife understands it now.