The title of this post is my summary of the credit crisis.
News today that the managers of two Bear Stearns hedge funds were found not guilty of fraud and insider trading supports the "no villains" idea.
This was a trial by jury, with normal everyday people on the jury. That they found the two not guilty is significant.
These two Bear funds that went bankrupt heralded the beginning of our credit crisis, but not enough people saw the meaning of their downfall at the time. Why? Because it simply wasn't clear that the world as we knew it was about to end...