Credit Crisis

A simple and elegant video that explains what is:

1. Leverage
   
2. Sub-prime mortgages
   
3. Collateralized debt obligations
   
4. Credit default swaps
   
5. The Credit Crisis
   
   

Source:

The crisis of credit visualized

Jonathan Jarvis

Individual sanity is mass men's madness

There is a legend among the Persian Sufis. Once upon a time, a wise man said that the day will come when all the water in the World except what have been specially collected would disappeared. Then different water will replace it. Anyone who drank the new water would lost his mind.

Only one man took the prophecy seriously and begin to store up water. But the day that have been predicted did not come. Every body of water empty out. The man who had listened to the wise man drank water from his supply. The bodies of water and wells filled up with water again. People thirstily drank this water and everyone of them went crazy. The man who have listened to the wise man continue to drink water only from his own supply and kept his sanity.

He was the only sane person left among the mad men and therefore he was call crazy. He pours out his reserves of real water ( the old water ) on to the ground. He drank the new water and lost his mind. The mad men decided that he has become sane.

Sense from:

Water ( the documentary )

41:05 - 42:27 mins