Friday, September 19, 2008

While we're blaming people for the Great Meltdown, let's not forget Greenspan...

... as this quote from April 2005 should remind us:

Where once more-marginal applicants would simply have been denied credit, lenders are now able to quite efficiently judge the risk posed by individual applicants and to price that risk appropriately. These improvements have led to rapid growth in subprime mortgage lending.

[h/t Kids Prefer Cheese]

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