> I would wager it's the latter. This will be the golden age of white collar crime, cons, and machinations. This is how this always ends.
So another S&L?
> At the end of 1988, 2,969 thrifts remained active. This was over three hundred less than in 1985 and over a thousand less than in 1980. These failures were highly geographically concentrated: a third of the failures from 1985 forward occurred in just three states: California, Texas, and Florida;[74] Texas accounted for 40 percent of thrift failures in the worst year of the crisis, 1988.[53]
*What Could Regulators Have Done Better to Solve the Savings and Loan Crisis?*
"Regulators failed to stop savings and loans from using federally insured deposits to make risky loans. Reagan also cut the budget of the regulatory staff at the FHLBB, removing its ability to investigate high-risk loans. Certain states also passed laws that allowed savings and loans to invest in speculative real estate."
Remains to be see if the current administration's views on oversight and regulation allow a repeat.
>An Office of the Comptroller of the Currency study in 1988 indicated fraud in 11 percent of failures between 1979–87; a Federal Deposit Insurance Corporation study in 25 percent of failures in 1989; a Resolution Trust Corporation study in 1992 found fraud in 33 percent of its cases; and a 1994 General Accounting Office study reported 26 percent of banks that failed in 1990–91 had issues with fraud.
10%-25% fraud in the industry. Yay, can't wait until I have to judge whether my bank is outright fraudulent again.
So another S&L?
> At the end of 1988, 2,969 thrifts remained active. This was over three hundred less than in 1985 and over a thousand less than in 1980. These failures were highly geographically concentrated: a third of the failures from 1985 forward occurred in just three states: California, Texas, and Florida;[74] Texas accounted for 40 percent of thrift failures in the worst year of the crisis, 1988.[53]
* https://en.wikipedia.org/wiki/Savings_and_loan_crisis#Intens...