Zillow Advice: Home Buying - 516 TRILLION in derivitaves!

quadrillion. 1000 quadrilliion ...

Thu, 22 Nov 2007 05:54:00 GMT

quadrillion. 1000 quadrilliion is a quintillion.

What's a 1,000 trillion, ...

Thu, 22 Nov 2007 05:27:00 GMT

What's a 1,000 trillion, a quintillion?

The big problem a lot of the big houses are having right now is they bought insurance and then made risky bets. When they went to go collect on the insurance, the insurer says "sorry, my asset/policy ratio is out of whack, I can't cover you" and the AAA rated insured asset becomes trash.

25% in 6 months was very ...

Thu, 22 Nov 2007 02:42:00 GMT

25% in 6 months was very shocking to me. The sheer amount of debt boggles my mind.

Only a very small fraction, ...

Thu, 22 Nov 2007 01:20:00 GMT

Only a very small fraction, possibly less then 1% of the derivative market was used to insure known risks; Most of the rest was used for speculative purposes...

There isn't 516 trillion of risk to insure anywhere, so saying it all is inusurance makes utterly no sense to anyone with any understaning of econ and finance.

Deriviatives are a form of ...

Thu, 22 Nov 2007 00:36:00 GMT

Deriviatives are a form of insurance, or sharing someone else's risk.

Not something I want to do; but it is better odds than Los Vagas, and it helps out those that took too much risk and need help.

I only have one word to summarize ...

Thu, 22 Nov 2007 00:25:00 GMT

I only have one word to summarize this: GREED.

im glad i was only required ...

Thu, 22 Nov 2007 00:08:00 GMT

im glad i was only required to take one semester of calculus in college.