One of the big questions is who is to blame for the housing bubble. Here is my list:
- Greenspan & The Fed Reserve Board for the cheap money supply (low interest rates) for such a long time
- Parts of the Real Estate Industry for cheerleading the bubble
- Irresponsible Lenders for predatory lending. If you make 40K and have no savings you should not be able to get a 325K loan.
- Fannie Mae & Freddie Mac
- Asian Central Banks, hedge funds & others for buying all these risky bundled loans
- Speculators & Flippers ( for being greedy and fueling this mania)
- Some homebuyers for buying beyond their means and being ill informed.
- Parts of the Media for not informing the public about this issue sooner (finally they are communicating this)
- Others (yet to be determined, please discuss)
This list is NOT in any particular order. Enjoy.