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Originally Posted by ryanmercer  It's no worse now than it was in the 80's. |
Actually, I think it is. If you're referring to the S&L collapse, that was very limited, to just that particular segment of the banking industry. This extends to huge GSEs, to global banks, to the securities market, and is tied to another ticking time bomb, the massive credit card industry. All of this debt, which has fed off each other, and now is becoming unserviceable, threatens to topple the entire banking system worldwide. If we see Carter-era style unemployment and interest rates, then things could spiral quickly out of control.