What we were told and how it did not happen

We were told subprime would not effect the U.S. economy – but it did.
We were told subprime issues would be contained in the U.S. – but they were not.
We were told subprime would not spread to Alt-A markets – but it did.
We were told subprime was “reasonably well contained” – but it was not.
We were told that ARM’s were good – but that is not always true.
We were told that mortgage reset problems are behind us – but they are ahead.
We were told (in June) that the housing slump was just about over – but it is not.
We were told mortgage backed securities would continue – but they came to a halt.
We were told that lenders are smart and diciplined – but not always.
We were told that the market is correcting – and this time I hope they are telling the truth!

The whole world is created by other people’s misfortunes. In the history of mankind we have never run out of anything, including the ability to make AAA bonds and higher yields out of risky financial products.