Looks like the people who guided the US economy through the last crisis are getting together for a very public meeting. I wish they would have invited Alan Greenspan, just to see if he learned any lessons. I wonder if they are getting worried. From WaPo:
“Former U.S. Treasury secretaries Henry Paulson and Timothy Geithner and former Federal Reserve Chairman Ben S. Bernanke met with reporters last week to discuss a September summit they are hosting to review lessons learned — both good and bad — from the crisis.”
A good description of what went wrong:
“The financial crisis reached its peak 10 years ago, a global banking panic that shook stock markets, wiped out thousands of companies, erased trillions of dollars in savings and drove unemployment from 4.7 percent to 10 percent in 24 months.
“To arrest the panic, the Bush and Obama administrations used controversial and — at times — barely legal methods to flood financial markets with taxpayer money. Most of this money flowed directly to banks, not homeowners, causing a populist revolt.
What they missed was the part about the housing bubble caused by Alan Greenspan and low interest rates.