Everyone did it. That was the excuse of the Wall Street greed merchants who are responsible for the current financial crisis.
Though it will make you want to reach for the pitchfork, Frontline’s “Inside the Meltdown” is must-see TV.
The program didn't instill any confidence in Treasury Secretary Tim Geithner’s ability to fix this mess. As president of the Federal Reserve Bank of New York, Geithner had a front row seat as Wall Street was pigging-out on mortgage-backed securities.
Geithner signed off on the $30 billion bailout of Bear Stearns, which was choking on subprime mortgage loans and a hidden stash of credit default swaps worth hundreds of billions of dollars.
Moral hazard is ahead a thing of the past. The Wall Street bailout has spawned a run on the American taxpayers’ bank by CEOs who have run their companies into the ground. A Rasmussen poll found 64 percent of Americans oppose giving any more of their money to automakers.
The PBS program includes on a disturbing note:
So far they have spent $350 billion. They say they will spend trillions more and still no one knows whether it will be enough.
Next in line: homeowners who also bet on the housing bubble and lost.