Bank Failure Analysis
The credit crunch left deadly traces
On banks found in high and low places;
The research clearly shows,
As many suppose,
Loans on homes were to blame in most cases.
The New American Dream
The Smiths, of 212 Cedar Way Lane,
Thought their mortgage a terrible strain;
They defaulted and then
Moved next door to 210,
Where they rent, and are solvent a-gain.
Deleveraging or Defaulting?
US consumer debts’ lightening
Has been thought to result from belts’ tightening,
But those falling exposures
Have tracked loan foreclosures,
Which leads to conclusions more frightening.
The Utility of Wall Street
A pundit who pondered intently
That bankers abound evidently,
Found it hard to discern
What they all did to earn
The Beemer, the Benz or the Bentley.
“I can’t pay, no matter I tried,”
A mortgagor woefully cried;
“So there’s nothing to do
But to grab a cold brew
As I hit the emergency slide.”
Good Money After Bad?
Further Fannie Mae bailouts, admittedly,
In the billions may seem like stupidity,
But less welcome, perhaps,
Is the market collapse
That would follow withdraw’l of liquidity
Totally Adequate Remedial Program