Sunday, April 10, 2011

A Reminder: Insights from 2nd Week

Could you all do this week's group a favor and comment with two things on this post:
1) An insight from class on Tuesday
2) An insight from class Thursday

This will help us decide what's important to the class as a whole so that we can structure the white paper around it.

Thanks for your help!

2 comments:

  1. One important insight from this week is that this problem largely emerged from the greed that swept the nation, not the institution of mortgages. Mortgages had been successfully used for over one hundred years with no major issues. It was only when people began to believe that they could extort and manipulate the institution were major issues developed. Knowing this should give us hope that by returning to the original operating procedure of mortgages we should be able to again sustain a housing market.

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  2. I hope this isn't too late!

    From Thursdays class the impact of foreclosure on homes was mentioned, which includes declining property values as a whole, lack of upkeep on foreclosed properties, and (supposed) increase of crime. I find this to be an important insight from the week that also helps connect the beginnings of the crisis with the consequences of it.

    On Tuesday we stressed the causes of the crisis, including as Zach said greed, and also inaccurate assumptions. I guess my insight from all of this is the answer to "why would people let this happen?", and well, loans were easy to get and prices were assumed to increase. Everybody was doing it!

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