Monday, December 27, 2010

Earlier in the week, I finished All the Devils Are Here by Bethany Mclean and Joe Nocera.

This book is one of many current ones on the financial crisis that started sometime around 2007 and is still not completely finished.  It does a good job of laying out the roots and major players of the financial system that led to the crisis, from Fannie Mae and Freddie Mac to Ameriquest and AIG.  They give lots of details on the rise of subprime mortgages, derivatives (particularly credit default swaps) and the financiers who used/abused them.

Very interesting reading, but it doesn't lend itself well to final conclusions.  The whole situation is too complex to be wrapped up with a simple summation, but this book should be required reading for anyone who wants to understand what happened.

No comments: