How the 2008 Financial Crisis Still Affects You

As someone who was still in middle school in 2008, I never really understood what happened. Even watching documentaries and movies about this crisis didn’t help much. But this video here is such a clear and structured piece of work that finally give long awaited answers for me.

Really awesome to live in the information era.

And what happened to those foreclosed homes while the prices were in a ditch? Large corporations such as BlackRock bought them up as investments, forcing millions into lifelong rent instead of home ownership.

Nobody was clueless, Bernanke knew at EVERY step what was going on. He was just being paid off and kept his lying mouth shut

Talk to financial professionals? :) Normally I'd support this closing argument, but not knowing what happened since the 2000s. Financial advisors lost my vote and I'd rather educate myself to ensure I'm de-risking my financial situation. This video is really well made and clearly articulates what went on - thank you for this great summary and work behind!

While many address these issues by the evil "inflation and recession", I wonder how many will see that behind these issues were actions of individuals, who only had greed and lacked ethics and humanity completely....all they cared about was themselves (if people pay attention to the video).

Best part is, 99% of those that caused it walked away with billions in bonuses and never faced jail time. Meanwhile millions of people who were just doing their best to work day in day out were left penniless, many even homeless. Fast forward to 15 years later, those evil fucks are still getting hired as CFOs and CEOs at the largest of corporations, while those who suffered are still struggling to throw together the money for a house and a pension.

The answer would be to take those responsible for everything they've got and give them consecutive life sentences, can't try it again then and disincentivises others from following suit. But that will never happen, because those are the very same people funding political campaigns on botj sides of the isle. Same reason why white collar crime that causes the suicides of many is barely and rarely punished, but you go straight to a penitentiary for stealing say a car.

What bullshit world we live in

Since the 90's we've had a generation of chasing perpetual growth powered by super low interest rates. When the growth stops (because it can't be perpetual) we're left with debt we can't pay. It keeps happening yet we keep yearning for growth with lower rates. The dot-com bubble burst should've told everyone, but then there was the housing bubble along with selling bad securities backed by those bad mortgages. Although there was the shock of a few major banks failing, the world dumped money on the market to get things back the way they were, that is, chasing growth with low rates. The pandemic did the same thing on an even bigger scale, and governments are simultaneously trying to fight both inflation and recession. It's crazy, but that's why it feels like we're doing nothing but spinning our wheels. We keep getting told everything's ok as long as rates are low and the value of your property keeps going up, like magic.

Amazing episode, great work

Sucks to be born in 1990’s tbh. You either graduate high school in 2008 or your a kid and your parents just lost everything. I remember going from riding dirt bikes and lake trips to moving into a steel building that my parents started a business out of. From my own room to sharing a living room with my brother. Thanks america. Devils land

a little correction. Bear Stearns was sold 10$ a Share not 2$. initially JPM offered to buy 2$/ Share, but the deal was finalized 10$/Share

Greed and lack of accountability are a heady mix. Gold is hardly risk proof considering its volatility over 3 decades. If everyone went there it would be a huge bubble and like finacial product s do nothing for society

Why is no one in jail. Its was classic ponze nonsense. They knew they were selling shit in a poke. Its fraud. Thousands should be in jail.

.... hai 🥰

Even the high net worth and ultra high net worth people worry about money, just in different ways. There's no way around inflation. There's no way around recessions. Stop looking for a solution that doesn't exist and invest more money. Major indexes booked their worst yearly performance since 2008 thanks to drivers like the recession, war, hiked interest rate and inflation which so far doesn’t seem to be easing off, so I’m left wondering what 2023 has in store for us investors, I’ve been sitting on over $745K equity from a home sale and I’m not sure where to go from here, is it a good time to buy or do I wait?

How do you wanna keep it banned when Congress and the president are invested in these companies and and get paid by these companies. 😂

When I was laid off from my job in 2008, I had been carrying monthly payments of $5,000 a month. (From mid 2006 to spring of 2007, I was going through a divorce. I emerged with a lot of debt.) Almost half of that was a 15 year mortgage on my house. My house became one of those toxic assets that the US government bought. From the time that I lost my job until I concluded my bankruptcy (18 months later), the mortgage lender and the credit card companies (my creditors) increased the amount I owed by a significant amount. So the taxpayers paid a lot more for my toxic assets than I had owed when the trouble started. The lenders made out quite well. . .

Bro just summarised The Big Short 😂

I worked for Lemon Brothers.

My wife and I both got laid off in September of 2008. Alot of my friends lost their homes. We have bought our house in a vfd. We lost it. Sold everything we owned and ended up at 43, broke. A one year old daughter born in 2008. I got a new job and tore up my knee 2 months later and had to have surgery. The entire experience was the worst part of my life

I worked for a bank during this period. Fortunately, it was well know for its conservative approach and basically didn't get involved in these risky types of investments. We lost some clients or got less business from clients because of it. When the crap hit the fan, we had to hire alot of Temps to help out because so many of those clients came running back with their money. It's always amazing to me how people never learn. It's like the saying in the Bible... "The love of money is the root of all evil."

Dropped Knowledge

It was all in name of spirit of Greed 😔

In spite of how everyone is frightened and calling the crash, there is already an excessive amount of demand waiting to absorb it, which is another reason it's less likely to happen that way. This forecast was not made in 2008, at least not by the general public, as I will explain below. The ownership rate peaked in 2004, according to the other comment. We reached a peak in the second quarter of 2020 and are currently at the median level. From 2008 to 2012, it fell by 3%, and in the second quarter of 2020, it dropped from 68 to 65.

Man, your videos are amazing keep up the great work. Maybe you could do one about Naomi Klein's "Shock Doctrine" idea since this video was about the 2008 crisis.

Islam is the only system that fixes all this. Riba prohibition is genius to say the absolute least. ISLAM will be the savior of societies

My Wife and I married in 2003, then bought a house in that same year. The loan was from Country Wide, and they tried to talk us into a much bigger loan. I insisted many times, over and over, that we didn't want a bigger loan. WE wanted the 250,000 not 500,000 they were pushing. I told them I didn't want to be house poor. They told me it's an investment. I replied, "Not if we can't pay for it and lose it." Our loan was designed so that when my construction job during the winter was to seasonally end, we could afford to pay the loan with of unemployment. This led to us having the cash to pay for vacations when I was off work. It also led to cash to pay for toys that others that did not use the same restraint and were selling off their toys for far less than what they paid for them. We were very lucky.

right now it seems the biggest looming financial risk story is China's economic implosion and Xi's mismanagement, and its global impacts, which is only just getting started.

from stock bubble (2001) to housing bubble (2007) to crypto bubble (2015) to meme stock bubble (2020) to FED ZIRP everything bubble (2023) ... as long as Tesla is above 50/shr we can be confident the bubble has not yet 'corrected'

I jumped from middle school to high school in 2008, and I found out about this crisis in 2018. Yeah, 10 years later. My family and I lived in a quiet and peaceful city in Pennsylvania, my mom and older sister had jobs, my older brother had found one in mid 2008, and they all got to keep them throughout the late 2000s and early 2010s.

Though they never told me if they were somehow negatively impacted by the crisis, we were living in a nice comfortable home with food in our refrigerator and beds to sleep on, and everything was fine in our lives.

"What do you mean there was a massive financial crisis in 2008???"

There’s a big ticking time bomb out there in the economy. I don’t want it to be worse than 2008 but it sure looks like it’s going to be bad. Might be a big reset.

Now that interest rates are back to the normal band of 4-8% maybe we get real productivity reignited.

This sure sounds a lot like FTX/Alameda Research and the whole crypto/NFT scene. I don’t know how Sam Bankman Fried thought he could pull this off when institutional banks couldn’t.

bitcoin solves all the problems of fiat money, which is fundamentally fraud, and takes the power from the governments and gives it to the people.

Just remember how the government did everything for big business at your expense. More evidence that the government is the illusion of choice.

There hasn't been an expert leader in my lifetime, I've seen a few recessions 2008 was pretty bad, I remember the 70's and 80's growing up and the crash in the 90's known as Black Wednesday 1992 - currency speculation - that was awful.

2008 sucked! Was forced to be frugal with money in really tight ways even though I had made enough money early. I'm glad I survived that period. Currently working overseas but will return to my home country in the near future. I'm a landlord. I invested in property at the age of 22. Value has soared and renting out. Will live on the rental income I receive and live with my aging parents for the time being. At 60 I can withdraw from my superannuation (401(k)). Have savings and eligible for the Australian pension at 63. In the future I may downsize, sell the property and buy cheaper property and add the left over money from the sale to savings. Lots of options for me. The way I see it if you have $1m at some point, that’d be enough to create a portfolio that would pay you between 50k-70k in dividend income...

Boomers have literally ruined everything

The same cabal who caused 2008 recession is the same cabal that released Covid-19 to the world.

I am in my 30s and I am just recovering from this. The stress, mental health, and family problems worsened through the years as the recession set a chain reaction that affected year after year and now I am recovering financially but I am now physically ill. There are millions of people who experienced the same or experienced far graver problems. Whoever live through this we are the lost generation and hope one day those responsible are judged for the crimes against humanity they committed, they are the same people who released Covid-19.

Interesting. It’s late 2023 now and they’re calling the recession averted.

(Recession confirmed.)

With inflation running at a four-decade high, the Recession is now the ‘most likely outcome for the economy and I cannot imagine being a victim of circumstances. My portfolio suffered a big hit, holding it further won’t be any good. I've heard of people netting hundreds of thousands this red season. How can I ensure this?

Greed is really the root of all evil.

*Bitcoin ;) (longterm play)

Well, this didn't age well, now did it?

The US government is the most evil entity for saving and bailing out the banks, and letting their corporate leaders slide without any consequences and yet not trying anything to protect homeowners from foreclosure. Just goes on to say how all systems are rigged by these so called policy makers and how important it is to choose your leaders wisely.

That is why Islamic Finance provides you with an alternative. Must study that literature and develop ethical banking products.

No matter how it's packaged and bundled, no matter the "instrument", at bottom it is all cash and we all want more of it. At the end of the day, cash will always be king.

Tulip mania