Paul Krugman writes about the efforts by Wall Street to cover up the real reasons behind the financial meltdown, including attacks on the brilliant new film, “The Big Short,” based on the book by Michael Lewis.
While the movie gets the essentials of the financial crisis right, the true story of what happened is deeply inconvenient to some very rich and powerful people. They and their intellectual hired guns have therefore spent years disseminating an alternative view that the money manager and blogger Barry Ritholtz calls the Big Lie. It’s a view that places all the blame for the financial crisis on — you guessed it — too much government, especially government-sponsored agencies supposedly pushing too many loans on the poor.
Check out the review of “The Big Short” by VEA Vice Chair, Nell Minow (who is also a movie critic). It heads her top ten list for the year — and her review includes a footnote with her brief explanation of the financial meltdown.