Monday, August 25, 2008

Dear Recession, you're not so bad

That simple picture became convoluted as financial innovation and outright greed pulled massive amounts of foreign savings into the US economy, allowing us to ignore our own lack of thrift. The resulting boom in housing construction that became one giant pyramid. When it became clear that the wealth being created on paper was out of line with the real value of the homes themselves, the pyramid fell under its own weight. You, the dreaded recession, appeared from the rubble.

1 comment:

Elizabeth Crum (E!!) said...

Good link-up on the recession piece at CSM! Thanks for posting this, and for visiting E!!