Power of Story Send a Tweet        
- Advertisement -

Share on Google Plus Share on Twitter Share on Facebook Share on LinkedIn Share on PInterest Share on Fark! Share on Reddit Share on StumbleUpon Tell A Friend 6 (6 Shares)  

Printer Friendly Page Save As Favorite View Favorites (# of views)   8 comments
Exclusive to OpEdNews:
OpEdNews Op Eds

The End of Capitalism? Not quite, but nearly....

By   Follow Me on Twitter     Message Nafeez Ahmed       (Page 1 of 8 pages)     Permalink

Related Topic(s): ; ; ; ; ; ; ; ; ; ; (more...) ; ; ; ; , Add Tags  (less...)  Add to My Group(s)

Must Read 1   Well Said 1  
View Ratings | Rate It

opednews.com

Author 2152
Become a Fan
  (16 fans)
- Advertisement -

The Crash of 2008

- Advertisement -

In the summer of 2008, the Bank for International Settlements (BIS) warned of the danger of another Great Depression rivaling the economic crash of the 1930s. The problem supposedly began with the US sub-prime mortgage crisis, whereby American banks increasingly granted mortgages on less stringent conditions to consumers who could not prove their ability to make repayments. This wasn’t an idle mistake due to insufficient regulation. Governments knew what was happening, and had ample opportunity to stop it. But financial institutions lobbied successfully for the power to lend at whatever multiples they wanted, without restriction. According to former Governor of New York Elliot Spitzer, when states realized the vast extent of corrupt lending practices by banks and tried to intervene to regulate them around 2003, the US Treasury Department unilaterally blocked their efforts.

- Advertisement -

On the basis of the proliferation of sub-prime mortgages, banks innovated new ‘financial products’ such as derivatives, valued against projected mortgage repayments. These are essentially contracts that gamble on the future prices of assets, thus deriving their value from primary assets, such as currency, commodities, stocks, and bonds. As more people with lower incomes obtained subprime mortgages, increasing volumes of bad debt were repackaged and re-sold globally, on the basis of which even larger amounts of credit and thus new loans were flooded into worldwide markets.  

- Advertisement -

“Risk?... What Risk?” 

Next Page  1  |  2  |  3  |  4  |  5  |  6  |  7  |  8

 

- Advertisement -

Must Read 1   Well Said 1  
View Ratings | Rate It

opednews.com

Dr Nafeez Ahmed is an investigative journalist, bestselling author and international security scholar. A former Guardian writer, he writes the 'System Shift' column for VICE's Motherboard, and is also a columnist for Middle East Eye. He is the winner of a 2015 Project Censored Award for Outstanding Investigative Journalism for his Guardian work.

Nafeez has also written for The (more...)
 

Share on Google Plus Submit to Twitter Add this Page to Facebook! Share on LinkedIn Pin It! Add this Page to Fark! Submit to Reddit Submit to Stumble Upon Share Author on Social Media   Go To Commenting

The views expressed herein are the sole responsibility of the author and do not necessarily reflect those of this website or its editors.

Follow Me on Twitter

Writers Guidelines

Contact AuthorContact Author Contact EditorContact Editor Author PageView Authors' Articles
- Advertisement -

Most Popular Articles by this Author:     (View All Most Popular Articles by this Author)

How the CIA made Google

Capitalism, Consumerism and Materialism: The Value Crisis

The Great Unravelling: Tunisia, Egypt and the Protracted Collapse of the American Empire

Hitchens Has No Clothes: A Response to 'Vidal Loco'

Bin Laden - Dead or Alive? Threats, Lies and Videotapes