In Chapter $1$ and also on the Frontline PBS YouTube Video, contributing factors to the Subprime Loan Crisis of $2007$ to $2008$ included which of the following:

Poor underwriting of loans by loan officers and predatory lending.

Packaging of subprime loan mortgages by financial institutions into subprime loan securitizations $($collateralized default obligations$)$ with disregard for the diversification of credit risk for the issues, and which were given high credit ratings by credit rating agencies.

Low interest rates contributing to rising real estate prices and a real estate market bubble.

Greed on the part of lenders and borrowers.

Breaches of ethics and fraud.

Emphasis by some FIs on shareholder wealth maximization or profit maximization at the expense of other stakeholders.

All of the above are factors contributing to the U$.$S$.$ Subprime Loan Crisis of $2007$ to $2008.$