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Mortgage Krizi Türkçe Altyazılı - 2008 Küresel Finans Krizi’nin Arka Planı - YouTube
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the prices of credit visualized what is
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the credit crisis it's a worldwide
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financial Fiasco involving terms you've
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probably heard like subprime mortgages
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collateralized debt obligations frozen
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credit markets and credit default swaps
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who's affected everyone how did it
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happen here's how the credit crisis
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brings two groups of people together
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homeowners and investors homeowners
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represent their mortgages and investors
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represent their money these mortgages
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represent houses and this money
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represents large institutions like
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pension funds insurance companies
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sovereign funds mutual funds etc these
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groups are brought together through the
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financial system a bunch of banks and
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brokers commonly known as Wall Street
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while it may not seem like it these
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banks on Wall Street are closely
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connected to these houses on Main Street
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to understand how let's start at the
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beginning years ago the investors are
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sitting on their pile of money looking
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for a good investment to turn into more
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money traditionally they go to the US
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Federal Reserve where they buy Treasury
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bills believed to be the safest
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investment but in the wake of the
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dot-com bust in September 11th Federal
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Reserve Chairman Alan Greenspan lowers
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interest rates to only 1% to keep the
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economy strong 1% is a very low return
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on investment so the investors say no
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thanks on the flip side this means banks
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on Wall Street can borrow from the Fed
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for only 1% add to that general
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surpluses from Japan China and the
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Middle East and there's an abundance of
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cheap credit
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this makes borrowing money easy for
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banks and causes them to go crazy with
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leverage leverage is borrowing money to
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amplify the outcome of a deal here's how
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it works
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and a normal deal someone with $10,000
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a box for $10,000 he then sells it to
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someone else
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for $11,000 for a $1,000 profit a good
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deal but using leverage someone with
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$10,000 would go borrow 990 thousand
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more dollars giving him 1 million
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dollars in hand then he goes and buys
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100 boxes with his 1 million dollars and
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sells them to someone else for 1 million
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$100,000 then he pays back his 990
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thousand plus 10 thousand and interest
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and after his initial 10,000 he's left
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with a $90,000 profit versus the other
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guy's 1,000 leverage turns good deals
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into great deals this is a major way
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banks make their money so Wall Street
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takes out its ton of credit makes great
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deals and grows tremendously rich and
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then pace it back the investors see this
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and want a piece of the action
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and this gives Wall Street an idea they
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can connect the investors to the
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homeowners through mortgages here's how
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it works a family wants a house so they
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save for a down payment and contact a
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mortgage broker the mortgage brokers
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connects the family to a lender who
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gives them a mortgage the broker makes a
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nice Commission the family buys a house
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and becomes homeowners this is great for
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them because housing prices have been
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rising practically forever everything
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works out nicely
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one day the lender gets a call from an
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investment banker who wants to buy the
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mortgage the lender sells it to him for
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a very nice fee
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the investment banker then borrows
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millions of dollars and buys thousands
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more mortgages and puts them into a nice
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little box this means that every month
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he gets the payments from the home
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owners of all the mortgages in the box
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then he six his banker wizards on it to
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work their financial magic which is
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basically cutting it into three slices
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safe okay and risky they pack the slices
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back up in the box and call it a
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collateralized debt obligation or CDO
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a CDO works like three cascading trays
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as money comes in the top tray fills
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first then spills over into the middle
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and whatever is left into the bottom the
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money comes from homeowners paying off
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their mortgages if some owners don't pay
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and default on their mortgage less money
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comes in and the bottom tray may not get
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filled this makes the bottom tray
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riskier and the top tray safer to
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compensate for the higher risk the
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bottom tray receives a higher rate of
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return while the top receives a lower
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but still nice return to make the top
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even safer banks will insure it for a
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small fee called a credit default swap
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the banks do all of this work so that
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credit rating agencies will snap the top
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slice as a safe triple-a rated
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investment the highest safest rating
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there is the okay slice is triple B
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still pretty good and they don't bother
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to rate the risky slice because of the
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Triple A rating the investment banker
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can sell the safe slice to the investors
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who only want safe investments he sells
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the okay slice to other bankers and the
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risky slices to hedge funds and other
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risk takers the investment banker makes
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millions
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he then repays his lungs finally the
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investors have found a good investment
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for their money much better than the 1%
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Treasury bills they're so pleased they
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want more CDO slices so the investment
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banker calls up the lender one
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more mortgages the lender calls up the
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broker for more homeowners but the
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broker can't find anyone everyone that
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qualifies for a mortgage already has one
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but they have an idea when homeowners
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default on their mortgage the lender
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gets the house and houses are always
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increasing in value since they're
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covered if the homeowners default
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lenders can start adding risk to new
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mortgages not requiring down payments no
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proof of income no documents at all and
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that's exactly what they did so instead
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of lending to responsible homeowners
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called prime mortgages they started to
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get some that were well less responsible
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these are subprime mortgages this is the
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turning point so just like always the
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mortgage broker connects the family with
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a lender and a mortgage
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making his commission the family buys a
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big house the lender sells the mortgage
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to the investment banker who turns it
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into a CDO and sells slices to the
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investors and others this actually works
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out nicely for everyone that makes them
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all rich no one was worried because as
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soon as they sold the mortgage to the
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next guy it was his problem if the
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homeowners were to default they didn't
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care they were selling off their risk to
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the next guy and making millions like
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playing hot potato with a time bomb not
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surprisingly the homeowners default on
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their mortgage which at this moment is
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owned by the banker this means he
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forecloses and one of his monthly
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payments turns into a house no big deal
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he puts it up for sale but more and more
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of his monthly payments turn into houses
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now there are so many houses for sale on
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the market creating more supply than
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there is demand and housing prices
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aren't rising anymore in fact they
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plummet this creates an interesting
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problem for homeowners still paying
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their mortgages as all the houses in
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their neighborhood go up for sale the
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value of their house goes down and they
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start to wonder why they're paying back
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their $300,000 mortgage when the house
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is now worth only $90,000
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they decide that it doesn't make sense
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to continue paying even though they can
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afford to and they walk away from their
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house default rates sweep the country
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and prices plummet now the investment
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banker is basically holding a box full
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of worthless houses he calls up his
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buddy the investor to sell his CDO but
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the investor isn't stupid and says no
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thanks he knows that the stream of money
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isn't even a dribble anymore the banker
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tries to sell to everyone but nobody
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wants to buy his bomb he's freaking out
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because he borrowed millions sometimes
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billions of dollars to buy this bomb and
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he can't pay it back
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whatever he tries he can't get rid of it
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but he's not the only one the investors
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have already bought thousands of these
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bombs the lender calls up trying to sell
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his mortgage but the banker won't buy it
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and the broker is out of work the whole
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financial system is frozen and things
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get dark
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everybody starts going bankrupt but
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that's not all
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the investor calls up the homeowner and
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tells him that his investments are
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worthless and you can begin to see how
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the crisis flows in a cycle
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welcome to the crisis of credit
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