Yeah, fine - that's a simplification. They bought third parties' loan books and securitised them. But it was that flow of money that encouraged the bad lending

Yeah, fine - that's a simplification. They bought third parties' loan books and securitised them. But it was that flow of money that encouraged the bad lending practices. If you know you can make a crappy loan and sell it on to Goldman for a profit, you'll make the loan.