BleepingComputer.com: Confused about the "Bailout"?

A friend of mine recently emailed me the link to a radio show that cleared the whole mess up. in fact, I now understand, with "crystal clarity", exactly what happened, thanks to this broadcast. The show was an edition of "This American Life" on NPR. I've been sharing the link with everyone.

hxxp://www.thisamericanlife.org/Radio_Episode.aspx?sched=1263

For safety sake, I replaced the usual "tt" in http with "xx". If you're confused about that, just paste the link in your address bar and replace the "xx" with "tt".


Hope this is as enlightening to others as it has been to me.

I stumbled across this very topic over on youtube the other day. A really brilliant guy broke it down for someone even as dumb as me.

http://www.youtube.com/watch?v=DdEI6PkGZK8

Credit default swaps =/= mess we are in now.

Global trading of derivatives on derivatives = mess we are in now

Google derivatives and do some research on it.

The subprime mortgage meltdown was a byproduct of Allan Greenspan not mopping up the liquidity he put into the market when the dot com crash hit.