What are we going to call the current recession/depression/credit crisis?I've heard it called the Sub-prime Mortgage Debacle, the Mortgage Crisis, and some other things in between.However, it does not have the ring of assuredness that I find in the 1973 Oil Crisis and the 30's Great Depression.The oil crisis can be named due to it's rather easy to detect proximal cause. The sub-prime mortgage disaster, on the other hand has so many causes that it is more similar to the Depression, where it is named for the feelings that it brought on the country. Depressed. Perhaps the current credit crisis can be named for the greed leading up to it, but I actually feel that it isn't the greed that was bad, but the ignorance of the risk attached to virtually everything causing this whole thing: the risky loans, the risky home purchases, the risky CDO swaps, the risky MBSs. The risk so many people ignored as if they were ostriches with their heads stuck in the sand.So, I ask the board that predicted this event, what should we call it?My own proposal is The Risk Avalanche of 2008I feel that this fits because a little risk is great -- like snow, it can give you fresh water, and it's great for snowboard. Just like snow, risk needs to be managed. Too great an accumulation can lead to avalanche. In the mountains, recoil-less rifles are used to safely bring down large snowbanks before they become dangerous to the locals.We have avoided our risk accumulation for too long -- isn't that what regulations are supposed to help us do, after all?Let's call it what it is.Other suggestions are welcome!Har1en
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