Blog 1: Inside Job

The documentary Inside Job gave a remarkable insight to viewers on the debt crisis our country had to face back in 2008. I was always aware of the financial crisis when it occurred but I never knew all the details of it until I watched this documentary. This film should be viewed by all American so we could all truly know a little about what was going on in our economy during the crisis and what is still going on today. It’s a powerful documentary that can really open up the eyes of people who were most affected by it, the public. This tragic crisis cause millions to lose their jobs, homes and savings.

Many financial firms were forced to declare bankruptcy. Even though the film puts a big blame on deregulation as a cause of the crisis, I also think that the crisis happened because of the selfish actions of the financial firms. What especially made me mad was that after declaring bankruptcy, executives kept their money. All the people that worked on Wall street were money hungry, greedy as ever. All they cared about was money, they did not care about how their actions affected other people as long as they made a profit. Most investment bankers were betting against the positions they were pushing on their customers just so they can make their extra money. Firms were able to make their abundant amount of money with the help of derivatives, the real estate bubble and the outbreak of subprime lending. The film presents the idea that corruption on Wall Street brought the system down and also corrupted politics. This caused thousands of people to lose their jobs and even become homeless. In fact people in Florida were forced to live outside in tents.

 

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One response to “Blog 1: Inside Job

  1. Well done — lucid description and critique. Indeed, there were two key sets of actors — elites — who are shown fueling the crisis: Washington politicians and government insiders as well as financial executives. As you note, deregulation is portrayed as the “cause” of the crisis — but the film draws attention to the role of financial firms, bank lobbyists, in pushing deregulation. Also, another key concept from the film is the *revolving door*. As a result of the continuous movement of personnel back and forth between regulatory/oversight (or legislative) positions inside government and positions in private sector firms (in the same sectors they were previously “regulating”) the whole government-finance distinction begins to lose meaning.

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