Thanks for sharing this. It's indeed very informative and easy to understand. I'm not from the US but the crisis concerns me. Thanks to your presentation, I now have a better understanding of the crisis affecting us all.

Can you tell me WHY so many people defaulted on their mortgages at the same time?

Can you explain the harm in people losing their homes and having to live in more affordable, smaller homes? (especially to those of us who are prudent and know we can't afford to buy homes in our area b/c the prices are beyond affordable for our incomes and are upset that these risk-takers are getting bailed out while those of us that didn't take high risks are still on the housing sidelines waiting for prices to come down to truly AFFORDABLE levels)

Can you also help identify WHO these people are that are losing their homes? Do you have any idea which is the greater culprit (and by what percentage): (1) that the higher-educated, more-affluent business people in the US took advantage of the poorer, less-educated people in America (knowing that it was very likely they may not be able to repay their mortgages, OR (2) that people took great risks and now they are paying for those risks.


You did a tremendous job with your presentation depicting the causes of the current crisis and the impact it has on everyone. I own a commercial mortgage banking company and have been in commercial lending for 28 years and have carefully watched the credit crisis unfold. It was easy to predict the outcome because you cannot offer 100% loan to value loans, with no income veriication to consumers who all believe that their properties would continue to rise. I tried to explain negative amortization to friends but they would not listen. As you are aware you cannot have an imbalance between home mortgage payments and consumers income because they simply cannot make the payments. I believe the best way to solve the problem is to lower everyones interest rates on their homes to 3% and subsidize the institution from the bailout funds. For renters, they could offer a rent stipend. This would lower peoples payments and allow them to make consumer purchases which would stimulate the economy. Unfortunately this would be a common sense solution. Instead the government is lending money to banks that are keeping in the vault because they are concerned of failing. We are in for a long recovery and I expect many more short sales. My biggest concern is the new 97% FHA financing programs being offered by Uncle SAM. The liberal terms will once again create another major problem in the next two years - we never seem to learn. Again great job on your presentation and I will email to many friends.

Very informative presentation, however, the public must be further educated regarding the direct affect our housing slump continues to have on our economy. With middle class America lacking the confidence to buy homes due to inflation and/or fear of job losses, thousands of small businesses will continue to suffer or fail. Further, if not enough people are qualifed to obtain mortgages, where will the government aid to the banks really go?

You have seen it in the papers and watched it on the news, now is your chance to lead the bailout and save the economy.

The Bailout Game puts you in the drivers seat. Help the Bailout Boys as they drive down Wall St. with unchecked power and a truck full of cash.

Good luck, you’re going to need it!

Blue Earth Interactive

Great article that explains everything quite simply. I know that most people aren't looking to understand what happened....only to blame someone.

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Very interesting and cognitive presentation. I liked how Bruce stood objective, not going into the blames instead. I have learned a lot. I am still trying to congest how the house prices declined. Probably Bruce mentioned that, but I mislead.

Do you suppose that a 400% price spike in oil from 2001-2008 could have been a serious part of the trigger? It is the first relative domino everyone has left out. Don't you suppose, with how energy relates to the economy, that this spike lead to a rise in defaults?

Does anyone know, why the prices for home declined, when it was rising. Very enthusiastic to know that. Thank you !

Very difficult task to identify all of the causes of this market and economic downturn. Keep yourself educated and properly allocated. Please visit for help with investing decisions.

I think you have a thorough understanding in this matter. You describe in detail all here.

Perhaps only at a time of crisis that more fundamental rethinking of the entire economic system can be entertained.

The new year is already knocking at the door, let it will bring only happiness and joy.

I liked the video and the powerpoint. Your explanation really helped me understand the basis of what happened, and now I can write my research paper over this topic with more confidence in what I am trying to say. Thanks!

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I liked how Bruce stood objective, not going into the blames instead. I have learned a lot.

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