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It almost looks like crookery, the smooth salesmanship of some of these financial agencies, right up until the end of the game.

As Peter Schiff says, the economic growth is a phony function of borrowing and spending, not production and saving.  Millions of homeowners were acting like they won the lottery, an orgy of spending would all be taken care of by the continuation of a "wealth effect" based on a rising tide of home equity.  No thought was given to the borrowing necessary by purchasers to fund this absurd cartoon of an economy, and the consequences for borrowers being caught out of pocket.  Aren't there an infinite supply of greater fools, always waiting to jump in?

Hmm, seems not.

As Nouriel Roubini remarks, this consumption binge was fueled by withdrawals from millions of housing ATMs.  Funny thing about an ATM, it doesn't give you any money when you are overdrawn.