Sub-prime lending has nothing to do with coming recession
Again, Dodd’s, Frank’s and (President-Elect) Obama’s hands were all over this part of the collapse in the markets. Akin to the bonfire embers that set off the California wildfires…let us not forget!
The mortgage meltdown started in the United States in the summer of 2007 and rapidly spread to other countries, as well as to other types of lending, affecting even more creditworthy customers. The problems with risky, subprime mortgages touched off what many call the worst financial crisis to hit the world since the 1930s.