Subprime crash was caused by schools not the banks

ANGELA PASCOPELLA's picture
Wednesday, June 26, 2013

That’s one way of reading this report about how it was poor math skills that led to the mortgage implosion.

That it was the schools and their inability to teach people basic skills that caused our problems, not the mass mania in the financial system where all thought that real estate prices could only ever go up.

People with poor maths skills are more likely to be behind with their mortgage payments and have their home repossessed, according to a study.

I have to admit that when I initially saw that in that English newspaper I thought that someone in the finance industry has financed a very interesting study there. One that absolves their own industry, most fortunately, from any blame and manages to shift it onto the teaching unions. For of course everyone does indeed have to go to school and the quality of teaching in the K-12 system is clearly going to be at least influenced by who we actually have as the teachers. And if they’re not able to teach people to count after 12 years then that probably is something we can blame them for.

Read more »