Pinterest But this main part of the film is preceded by a pre-credit sequence where the whole crisis is demonstrated in miniature by Iceland, visually depicted as a neat, happy, brightly painted toy town swamped by American ideas as expressed by a violent explosion taking away the side of a mountain. This pleasant, well-ordered country went mad, handing over valuable territory to be exploited and despoiled by American corporations, privatising the three largest banks and allowing investment funds to borrow money that amounted to three times the size of Iceland's GNP.
Share via Email The long bank holiday In Charles Ferguson's documentary about the great financial crash, Paulson's shrugging remark sums up the attitude of the super-rich banking apparatchiks and their eager political supporters. As long as the bubble's getting bigger, there's no worry about the bubble contracting … right?
But that is not what happens to bubbles. Inthe pop was heard around the world. This film is as gripping as any thriller.
Aided by some fascinating interviews, Ferguson lays out an awful story. In the s, the markets and financial services were deregulated, and the driving force for this liberalisation was Alan Greenspan, formidable chairman of the US federal reserve board from to Banks and loan companies were freer to gamble with their depositors' money; they were themselves freer to borrow more; they were free to offer investors dizzyingly complex financial instruments, with income streams from different debts bundled up, including high-interest home loans offered to high-risk borrowers — the so-called "sub-prime" market that offered mouthwateringly high returns.
The good times rolled. They offered their traders mind-blowing bonuses to encourage risk-taking chutzpah, corporate loyalty, and a neurotically driven pursuit of profit. Ferguson argues that crucially, the banks were allowed to insure against bad debts with credit default swaps — any number of these insurance policies could be purchased against one particular risk.
Chillingly, the banks now had a vested interest in selling insanely risky products, as they The inside job review were lavishly insured with these swaps. Perhaps the most sensational aspect of this film is Ferguson's contention that the crash corrupted the discipline of economics itself. Distinguished economists from America's Ivy League universities were drafted in by banks to compose reports sycophantically supporting reckless deregulation.
They were massively paid for these consultancies. The banks bought the prestige of the academics, and their universities' prestige, too. It is really something to see the expression of shock, outrage and fear on their faces as they realise they're in the dock.
One splutters with vexation; another gives vent to a ripe Freudian slip. There is a revolving door between the banks and the higher reaches of government, and to some extent the groves of academe.
Bank CEOs become government officials, creating laws convenient for their once and future employers. Perhaps only the pen of Tom Wolfe could do justice to these harassed, bald, middle-aged masters of the universe, as they appear in Ferguson's film.
The director shows how their body-language is always the same: They look uneasy, shifty, in weirdly ill-fitting suits, as if they are oppressed by the scrutiny, and worn out, possibly, by the strain of suppressing their own scruples.
Their financial capacity far outstrips their capacity for enjoying themselves. They look very unhappy. Occasionally, British figures including Mervyn King and Alistair Darling are to be glimpsed in these photos, reminding us that we Brits have been ardent deregulators, as well. One of Ferguson's interviewees is Charles Morris, author of The Two Trillion Dollar Meltdown, who amusingly discusses the effects this mega-windfall has on the individual banker's mind.
I was reminded of Michael Lewis's Liar's Poker, his very funny book about the financial mentality of the 80s boom. He noted that if a regular person won the lottery, he might roll around on the floor, kicking his legs up with glee, but when bankers won their arbitrary lottery, they instead became solemn, pompous, overwhelmed with their own importance and stateliness.
Their recklessness and excess coexisted with an almost priestly sense of worth. Yet that prosperity didn't trickle down very far. Generally, this is the sort of film that is praised because it is not as wacky and tricksy as Michael Moore.
Yet it is clearly influenced by him — it's like a Moore film with the gags and stunts removed. And it's worth noting that without Moore's pioneering work, this documentary could not have been made.
Once again, the phrase that comes to mind is Milton Friedman's: An ordinary person defaults on his debt, he gets to live in his car. A banker defaults, and the taxpayer can be relied on to bail him out.
No wonder the bonuses are back. But what can be done about all this? Ferguson has no answers, other than a faintly unedifying hint that bankers could be brought low if rumours about their systemic addiction to drugs and prostitutes could be made to stick legally — like Al Capone's tax evasion.
But only a new political mood for regulation will do, and this still seems far away.Get today’s top entertainment news, TV shows, episode recaps, and new movie reviews with pictures and videos of top celebs from Us Weekly.
Search millions of jobs and get the inside scoop on companies with employee reviews, personalized salary tools, and more. Hiring? Post a job for free. Product Description. From Academy Award®-nominated filmmaker, Charles Ferguson (NO END IN SIGHT), comes INSIDE JOB, the first film to expose the shocking truth behind the economic crisis of The global financial meltdown, at a cost of over $20 trillion, resulted in millions of people losing their homes and jobs.
Free Higher Education News, Jobs, Career Advice and Events for college and university faculty, adjuncts, graduate students, and administrators. This is what Ferguson means by "inside job". There is a revolving door between the banks and the higher reaches of government, and to some extent the groves of academe.
I get a lot of 'news' emails, but the Daily Brief is the only one I find time to read no matter how busy things are. The Inside team does a consistently fantastic job delivering the right news at the right time, in an immediately relatable way.