How would you explain the 2008 financial crisis to a teenager?

I recently had the pleasure of reading two good novels by Michael Lewis - 'Liar's Poker' and 'The Big Short'. Both are engaging and a far cry from the usual insipid narrating style of usual financial works. read more

The crisis which it brought is famously known as Subprime Mortgage Crisis or the Financial Crisis of 2008. Once the ratings agencies stamped AAA rating on such pool of mortgages (a bond), the Wall Street banks sold it to institutional investors, pension funds, university endowment funds, insurance companies (AIG FI) etc. read more

The 2008 financial crisis is the worst economic disaster since the Great Depression. Unless you understand its true causes, it could happen again. read more