Professor Bernard's picture

The Subprime Mortgage Crisis

By Bernard

This is the Report Paper from OCdt Matthew Telfser about the Subprime Mortgage Crisis.  Here are his original front page and table of contents.

The Subprime Mortgage Crisis:
A Comprehensive Analysis
Introduction to Economics Research Paper
OCdt Matthew Telfser
383-920-RE Class 501
Bernard Gagné
November 27, 2008

Table of Contents


Defining the Subprime Mortgage Crisis  

Causes of the Housing Crisis Bubble and it Subsequent Burst  

A) The Consumerist Mentality of Americans and the Dot-Com Crisis  

B) Precarious Lending Tendencies and the Sub Prime Mortgage  

C) Other Obstructive Factors  


A) For the Stock Market  

B) For Large Businesses and Financial Groups  

C) For the Individual and the Quality of Cities  

D) The Recession  


Personal Opinion  

What I Think of Greed  

How My Life is Affected  




Annex 1: Homeownership Rates for the United States: 1981 to 2008 

Annex 2: Mortgage Originations and Delinquency and Foreclosure Rates Annex 

Annex 3: Mortgage Loan Fraud Reporting Trend  

Annex 4: Rentable and Homeowner Vacancy Rates for the United States for 1995 to 2008  



Watching the hand of the corporate clock above your desk, as you try to exhibit the most aggravating of virtues, patience, you are comforted by the idea that within several minutes, the signal will be given that the work day is over, and there is a place you can retreat to. This is a place of rest, and a place of familiarity; this place is home.

Be it one’s return from work, a day of shopping, the learning atmosphere of school, or simply a walk to the mailbox, we have become accustomed to the idea returning home, a place of our own. However, what happens when this staple of modern day life is jeopardized? The disruption of something so familiar to us generally gains the label of crisis. This in fact has occurred, and is called just that.

The Subprime Mortgage Crisis, amongst the many other names it bares, is the title for the disruption felt on the political, economical, and social level, both nationally and internationally, largely due to the commonly held idea of home ownership in the United States. It is one of many economic pains that have stricken the nation within its recent past, peaking in the last two years. It is closely related to the United States housing bubble, and thus, both will be discussed, interchangeably and in relation to one another within this reading.

The following will attempt to discuss this subject in further detail, by defining the crisis, exploring its many causes, as well as the effects, and the possible solutions. A personal opinion will also be given, prior to the conclusion.

Note.  I'm editing this Research Paper in 2012.  We all know what happened..  But remember that OCdt Matthew Telfser gave back this report in November 2008!  Great understanding of the Economy!

The Subprime Mortgage Crisis:

  1. Defining the Subprime Mortgage Crisis<
  2. Causes of the Housing Crisis Bubble and it Subsequent Burst<
    1. The Consumerist Mentality of Americans and the Dot-Com Crash
    2. Precarious Lending Tendencies and the Sub Prime Mortgage
    3. Other Obstructive Factors
  3. Repercussions…<
  4. Correction of the Crisis<
  5. Mediagraphy on the Crisis<
  6. Conclusion on the Crisis<

My teaching on this question is in the book on the cycles, not yet translated in English.  Here is the link for the French text.<