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Lax Screening

In: The Subprime Crisis Lessons for Business Students

Author

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  • Jaime Luque

    (1University of Wisconsin-Madison, USA)

Abstract

The housing bubble that preceded the Great Recession had many underlying causes. One of the key causes of this bubble was the ease in which individuals were being granted mortgage loans. This credit expansion effectively granted loans to individuals who would have otherwise not been able to meet the necessary criterion. Was this decline in lending standards the root cause for the housing bubble?…

Suggested Citation

  • Jaime Luque, 2017. "Lax Screening," World Scientific Book Chapters, in: The Subprime Crisis Lessons for Business Students, chapter 23, pages 197-205, World Scientific Publishing Co. Pte. Ltd..
  • Handle: RePEc:wsi:wschap:9789813200043_0023
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    More about this item

    Keywords

    Subprime Crisis; Great Recession; 2009 Recession; Mortgage; Financial Market; Preventing Recession; 2009 Crisis; Interest Rates;
    All these keywords.

    JEL classification:

    • G01 - Financial Economics - - General - - - Financial Crises
    • G1 - Financial Economics - - General Financial Markets

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