IDEAS home Printed from https://ideas.repec.org/h/pal/pmschp/978-1-137-31713-1_11.html
   My bibliography  Save this book chapter

The Bursting of the Bubble: Savings Banks, a Death Foretold

In: Spanish Money and Banking

Author

Listed:
  • Gabriel Tortella
  • José Luis García Ruiz

Abstract

There is agreement in calling the crisis that began in 2007 in the United States and in several European countries the ‘Great Recession’. The origin of the crisis in the United States lay in the subprime mortgages that had been granted to insolvent or semi-solvent clients by institutions that practised a policy of ‘originate and distribute’, i.e., of granting credits and then transferring the risk to others through the securitization of these credits. In previous years, in the midst of continuing increases in the price of real estate, rating agencies had assessed positively this way of distributing of risk, regardless of the high probability of default in the medium term of the mortgage contracts that were at the core of these securities.

Suggested Citation

  • Gabriel Tortella & José Luis García Ruiz, 2013. "The Bursting of the Bubble: Savings Banks, a Death Foretold," Palgrave Macmillan Studies in Banking and Financial Institutions, in: Spanish Money and Banking, chapter 11, pages 175-188, Palgrave Macmillan.
    • Handle: RePEc:pal:pmschp:978-1-137-31713-1_11
    DOI: 10.1057/9781137317131_11
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:pmschp:978-1-137-31713-1_11. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.