Here's a quote of Alan Greenspan from a good site (see www.globaltechstocks.com and subscribe) =>
"Innovation has brought about a multitude of new products, such as sub-prime loans and niche credit programs for immigrants. . . . With these advances in technology, lenders have taken advantage of credit-scoring models and other techniques for efficiently extending credit to a broader spectrum of consumers. . . Where once more-marginal applicants would simply have been denied credit, lenders are now able to quite efficiently judge the risk posed by individual applicants and to price that risk appropriately. These improvements have led to rapid growth in sub-prime mortgage lending . . . fostering constructive innovation that is both responsive to market demand and beneficial to consumers." Alan Greenspan, April 8th, 2005
These clowns have no concept of the practical world. They sat on their butts while the financial industry created products to loot money from financially unsophisticated people who now can lose their homes & savings. All DC is culpable as problem was discussed widely and they did nothing.