By J.P. Michaud on September 20, 2008
The meltdown of our financial system should come as no surprise to anyone who has been paying attention. For the past five years, people who should have been renting apartments were buying houses they couldn’t afford with money they should never have been lent. Our apparent economic growth was sustained only by the fabled American consumer maxing out his credit cards and spending down the (imagined) equity accumulated in his home.
The federal government set no example either, accelerating government debt at an unprecedented pace – not to improve the country for its citizens with better health care or infrastructure – but to wage an unjustifiable war that benefited only the oil industry and defense contractors. How long could our whole system continue to teeter along on borrowed time and borrowed money?