General Question

flo's avatar

Is the cause of the 2008 financial crisis, something about it not being illegal?

Asked by flo (11139points) May 16th, 2018

Does the 2008 financial crisis have anything to do with some part of the cause of it being not illegal?
https://www.britannica.com/topic/Financial-Crisis-of-2008-The-1484264
The link is not because it has anything to do with the answer.

Observing members: 0 Composing members: 0

6 Answers

zenvelo's avatar

There were a lot of illegal acts that contributed to the crisis- securities fraud and violations of banking regulations.

But there was a general disregard for prosecuting anyone. The Department of Justice did not file criminal charges against anyone.

flo's avatar

Yes but was there something in particular that was not illegal which contributed to it?

zenvelo's avatar

Securitization of bundled mortgages was not illegal, and is still done today. Credit Default Swaps are not illegal, and how they were reported for accounting purposes at the time was not illegal.

janbb's avatar

Greed unfortunately is not illegal.

ARE_you_kidding_me's avatar

Repeal of the Glass-Steagal act is likely the move that set the stage and started everything in motion.

Answer this question

Login

or

Join

to answer.

This question is in the General Section. Responses must be helpful and on-topic.

Your answer will be saved while you login or join.

Have a question? Ask Fluther!

What do you know more about?
or
Knowledge Networking @ Fluther