Banks were lending money to people with no hope of repaying it (helped by the criminally reckless policies of the US government) before the Broon Crunch in 2008. Banks are lending money to people who won’t be able to repay if they get into a bit of financial trouble, or the rates go up, right now. And they’re still amazed that their debtors keep on defaulting.
This is the lesson from history: it’s irrelevant because everyone expects things to work out differently every time an old crisis comes around again.
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