Tag Archives: sub-prime

Mortgage Crisis – Dummy’s Guide

Recently I was preparing for an interview for one of India’s top notch business school program. My shortlisting was quite a surprise to me and they called me for an interview. Since it was a business school interview, I was sure I need to armed , loaded and empowered with all information on current Wall St crisis in US. And how it impacts global economy . And of course its impact on Indian IT Industry . This entire ball game of mortgage crisis or credit crunch was a nut shell to me. I never understood E of economics and dynamics of global economy were beyond my comprehension. It is something similar to one of Sardar friends analogy(no kidding) about the movie “Matrix” . I humbly asked seeing his perplexed face “Sir jee movie samajh me aayee?” And his very honest reply “Yaar Amrica to apne ko samajh me aati nahin hai …aur yeh Matrix to Amrica se bhi sou saal aage lagya hai …Jab Amrica samjh me nahin aati hai to Matrix kya samjhenge..! “ . So that was my trouble with Economics and Global Mortage Crisis.

Anyway I did gather all the information and gradually things started becoming more clear. The entire gamut of sub prime loans is like a spider web. Entangled. And luckily before the interview I got one of those unsolicited forward mails from one my friend explaining the entire crisis in very simple pictorial manner. And that said it all.

Publishing this material as I don’t see any copyright notice in that.

Sub-Prime Mortgage Crisis – Pictorial Simplification

( statutory warning: this document contains some obscene words which makes this more interesting. )

Anyway nothing on economy or of that sort was asked in my interview. I was instead explaining the panel about the sheer magnitude of Grand Canyon. And the awesome Niagara Falls. Well yeah, I was just replying to their questions. Felt like a complete jerk . Not sure how they calibrated me but one thing is sure that they would have laughed their ass off after I left the interview room. Fingers crossed.