nope, I don't believe them. If the debt bubble were limited to subprime loans, its a big correction to take on, but we could get through it...real estate would

nope, I don't believe them. If the debt bubble were limited to subprime loans, its a big correction to take on, but we could get through it...real estate would be cheap for a couple of decades; cool, there is actually some value in that. If the liabilities truly were limited to house values dropping, it would be almost trivial to calculate the bank's liabilities. Banks have no idea what's on their balance sheets, because houses are the tip of their debt iceberg.