> CB: Isn't it a pretty safe bet that risky home loans will fall in
> value
Apparently not everyone on Wall Street shared Goldman's view. The standard opinion in the spring, if I'm remembering right, was that the worst of the housing bust was behind us, or was at least very close to an end.
Doug
^^^^ CB: The word "risk" seems like a real floating signifier in the finance context. I mean if the loans are risky, that seems to mean that there is a high likelihood that they will not be paid or a lot of them will be defaulted on . I'm trying to think what else a "risky loan" would mean.