A lot has been written about the housing and mortgage finance crisis in the United States. You may be wondering how and why you would be affected by the failure of a mortgage company that issued high interest loans to borrowers who were not credit worthy. Although it may not be obvious, a rising delinquency rate among sub-prime borrowers can and has impacted:
- housing prices (the value of homes in most places in the country has gone down)
- interest rates
- inflation
- the stock market
- our trade imbalance with other countries
- the decline of the dollar
- oil prices
- the stability of the stock market and commodities markets
- employment
- foreclosures
CNN and Fortune Magazine have produced a television program called "Busted – Mortgage Meltdown" that explores all of the implications of our mortgage crisis. I suspect that the show will end up on-line but for now, you can visit the multi-media online companion to the show.
Thanks to Paula Wethington from the blog Monroe on a Budget for writing about the CNN/Fortune program on her blog.