How Did We Get Into This Financial Mess?

The other night I found myself quite disturbed after watching this segment on CBS News, at the same time I felt that the way Jim Grant (the first gentleman interviewed) described the "Shadow Market" warranted the title of an article/video that fits the "for the Rest of Us" approach that I subscribe to on this site and for that reason it was posted here for readers to view.

A lot of people are wondering how this all began and why it seems that it is all collapsing. I am fully aware that there are other factors that have contributed to the recent crisis, but I felt this is one of those factors/reasons that is not fully understood. What do you think?

Your comments and thoughts are welcome.

Source: CBS News

The full text of the interview can be found here