From: "AllEmailDeletedImmediately" 
Newsgroups: misc.invest.stocks misc.consumers.frugal-living misc.invest.real-estate
Subject: Re: Where did the 400 billion USD in subprime mortgage losses go
Date: Tue, 20 Nov 2007 17:43:17 GMT
Bytes: 1808


"Wilson"  wrote in message 
news:HYE0j.461$Vq.404@nlpi061.nbdc.sbc.com...
>I keep reading about the 400 billion us dollars in subprime losses to date,
> e.g, see this bloomberg article http://tinyurl.com/2vjgq7
>
> Where there is a 400 billion dollar loss there is a 400 billion dollar
> gain.
>
> I don't understand WHO gained from this 400 billion dollars?
>
> Who wins here? How?
> I'm cash rich - can I benefit by taking some action?
>

money is created out of thin air by the fed (which is a private entity). 
the banks were lending non-existent dollars since they only have to have 
about 1 dollar on hand for every 10 they lend, or something like that. 
it's called fractional reserve banking.