Rachel Maddow vs. John McCain: Economy fundamentally strong

The financial crisis on Wall Street is just a cyclical correction in the economic cycle inadequate. It 'a symbol of a problem right at the base of the economic philosophy of law challenges the conventional wisdom during the Bush years - and remain in a McCain presidency. Fans of freedom, "free market" by the fundamental lesson that the world has learned during the Great Depression: left to do for themselves, unregulated financial markets do notnecessarily based on society as a whole will benefit - or, at the end, although many individual market participants. For many years after the Great Depression, most mortgages from banks and savings have been made available. Traditionally, these institutions from their own loans, evaluate the risks and maintain a relationship with the borrower. It could be done in the interest of the bank - that is, how does the money. But there was also a concern for the institution to ensurethe borrower can repay the loan because he paid his money. Over the past 30 years, the mortgage market has fundamentally changed. Now most loans from brokers or mortgage lenders that come from the money through the "rights" and payments for non-regulated banks are often large. With these funds, which are then packaged and sold as securities on the secondary market for mortgages. Mortgage originators had every reason for all loans...



http://www.youtube.com/watch?v=gb1ldLIF5HQ&hl=en