Posted On: October 14, 2008, 7:57 am CDT

Posted By: amazed

The definition of insurance is "risk transfer". The credit crises is due to banks and other financial institutions not trusting each other because they all used some form of hide n seek accounting. CDS were used to hide and enhance the ability to sell the derivitives. Thus, "insuring" the gamble. The only way to work our way out of this economic condition is for financial minds to use their talents in ways that educated economic genius's can understand and evaluate.