What is the credit crisis?
The complexity of the current credit crisis we are facing can be daunting. Understanding how the credit crisis happened can be even more daunting than understanding what the crisis even is.
But I have to tell you that I was blown away by this video by Jonathon Jarvis. He breaks down the crisis so simply and cleanly that it makes perfect sense. Plus, the visualizations are fantastic, and make it fun to watch. It’s a smidge on the long side, but trust me, it’s worth finishing.
This video answers all of the following questions:
- What is the credit crisis?
- What caused the credit crisis?
- What is a sub-prime mortgage?
- What is a credit default swap?
- What is a collateralized debt obligation?
Check it out. You will not be disappointed.
Posted on 27 Feb 2009