Looking for info on 2008 sstock market crash.

Im not sure where to place because it is old news, and I am sure there have been many threads on each topic I am going to ask questions about.

I am still new to understanding the stock market, so far I dont like it. But I think my dislike may be because i dont understand a few things.
According to this article detailing the 2008 crash and related events it should be the banks lending firms and hedge firm groups that I should dislike.

From what I read it was simply bad investing from banks that were much larger than they needed to be and they were failing.
I have read that several bills were passed to help make it less likely for this to happen again, but its not supposed to be a guarantee.
I apologize in advance for this, but what I ask is for those whom have the free time to read all or at least most of the article and tell me if this information is correct and I would also appreciate any links for other resources to educate me on the matter.
The reason I ask for this is my brother in law and I have many conversations about Wall Street, banks, among other things that are alsopopular topics on this site.

Thanks in advance for anyone whom may have the time to help educate me.

Yes the article is correct

The US housing bubble bursted China is next in line ( but maybe they can pick up with foreign investments )

The article is correct Reasons for the crush as the article mentions 1. Unprecedented Growth and Consumer Debt The role of Fannie and Freddie is to repurchase mortgages from the lenders who originated them, and make money when mortgage notes are paid. Thus, ever-increasing mortgage default rates led to a crippling decrease in revenue for these two companies. creative mortgages were a disaster waiting to happen in the event of a housing market downturn, which would put owners in a negative equity situation and make it impossible to sell

2. The Subsequent Rise of Creative Mortgage-Related Investment Products credit default swap (CDSs). CDSs were designed to be a method of hedging against a company's creditworthiness, similar to insurance. But unlike the insurance market, the CDS market was unregulated, meaning there was no requirement that the issuers of CDS contracts maintain enough money in reserve to pay out under a worst-case scenario

3. Market decline

www.investopedia.com...

My simple take on the whole thing was that people were borowing money and either didn't pay back, were unable to pay back or simply declared bankruptcy ( here you only get 7 years for black listing some countries and landing agencies don't even bother with credit history )

a reply to: realnewsrealfunny

Thank you for your reply! I was beginning to worry no one would. Thank you you have given me some reading to do, and an excuse to stop playing my Andoid games. (Yes I am addicted).

a reply to: DeviantMortal

Likewise .. Can't stop playing Kardashians believe it or not



(I don't have a clue about economics so I joined the chit chat I wait for someone to reply )

a reply to: realnewsrealfunny

My main digi-crack is Summoners War, but I also play Star Wars Galaxy of Heroes, and Deadmans Cross everyday.

To complex to summarize, but I did track the event since inception here,...

www.ignorancedenied.com...

I should add in 08 that it all began with the overpriced gas "crisis".

a reply to: smirkley

Forum looks amazing ! It's amazing on the phone too wow

a reply to: realnewsrealfunny

Fully responsive at 4 different viewport sizes.

The whole thing started when gas prices went thru the roof. Anyone making minimum wage was working for gas money to get to work.

Then people started to lose their houses. When that accelerated, that is when the title defect became mainstream as people were taking to court the banks they paid the mortgage to, complained that banks that didnt own title were evicting. That is where it got ugly.

a reply to: smirkley

I didn't know about the gas thing at all

The news was a complete shock

a reply to: smirkley

And more reading material! LoL, when I am done reading this I might know enough on the subject to predict the next one. (just kidding)

In my observation, it was a domino effect. It compounded and snowballed within a few short years until the economy, banks, real estate, and stocks all went belly up.

It is what happens when several indusyries and facets of the economy were basically regulating themselves , and then their house of cards took out billions of peoples incomes, savings, investments, and retirement accounts.

It my opinion it was the decade of the great ripoff perpetrated by the businesses that bought out politicians to turn the other cheek.