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1a) What does household debt increasing to 127 percent of disposable income mean and what is the implication for homeowners in relaltion to housing crisis

1a) What does household debt increasing to 127 percent of disposable income mean and what is the implication for homeowners in relaltion to housing crisis in 2008?

b) How is a subprime mortgage different from a conventional mortgage, and why were banks so willing to approve this type of mortgage?

c) Why did the returns from MBSs (mortgage backed-securities) continue to rise?

d) Why did the housing bubble burst?

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