Causes of the Global Financial Crisis 2007

Fig 1: Dramatic rise in debt prior to GFC
Fig 1: Dramatic rise in debt prior to the GFC
Fig 2: Debt of Poor is Wealth of Rich
Fig 3: Fire-Sales/Foreclosures depress housing market
Fig 3: Timing of decline in consumption and investment, relative to 2008q3 collapse of Lehamann Brothers
Fig 4: Poorest (most leveraged) houses have highest propensity to spend

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