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The American Empire in a Changing World



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Monday, April 16, 2012

''How shadow banking blew up the economy''

From Seattle Times
By Jon Talton

"Feeling a little lighter in the wallet? According to the Federal Reserve, the collapse in housing values from their peak destroyed $7 trillion in paper wealth. Yet this was a trillion less than was vaporized by the dot-com bust. The latter resulted in a mild recession, while the former was accompanied by the Great Recession which is still dragging down millions of households. Fed Chairman Ben Bernanke attempted to explain the differences in a speech on Friday."

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