Though all this started with just a few people trying to make a quick and painless buck selling subprime loans in unethical and illegal ways, it has now turned into a train wreck of epic proportions worldwide in slow motion. And it looks like ten years from now the whole world will still be reeling in some way from this big problem growing bigger every day.
Let me give you an example. I just read the following article in the New York Times:
http://www.nytimes.com/2008/08/22/
business/22commercial.html
Let me give my example in terms of the average U.S. adult. They have a High School Diploma and some college(likely commmunity College). They have no degree in Economics or a Master's in Business Administration or any college degree. Their older relative(mother or Aunt just passed away) and this relative left them their home or Mom and Pop business.
However, when these good people without college degrees try to claim their home or mom and pop business it all goes haywire because they can't get a loan on the home or business to pay the 45% to 55% taxes to the government which is owed by every estate when someone passes on. So, what do they do? They may try to sell the home or business in desperation to pay the taxes within 9 months to a year which is the legal obligation. But what happens if they can't find a buyer? Do they freak out? Do they go Bankrupt? Do they run away and disappear? What do they do?
So this elderly person has just ruined the life of those they wanted to help because they can't get a loan against the home or business to keep it and they can't sell it either to pay the taxes. So this life giving bequest has just ruined the lives of the heirs. Multiply this by thousands and you have what is happening to thousands of people who have just lost a loved one in these awful economic times!
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