Mortgage Backed Securities
a: Mortgage backed securities ~
b: lasagna with several layers of human feces
What: "2000 layer lasagna with several layers of human feces" I believe good loans are packaged with some small fraction of bad loans. The fraction of bad loans are based on the historical averages of loan defaults. What the "inventors" of this financial product didn't consider is that there may be a time when the rate of foreclosures goes to an all time high.
Writer: Steven Colbert
Where: Reference Link Has Evaporated
Date: Sep 27 2009 7:54 AM
# 79 Critique Analogy