---
title: "Meaning & Key Takeaway of: Consider the recent financial crisis and…"
description: "\"“Consider the recent financial crisis and its link to faulty reward systems. President Bill Clinton's objective of increasing homeownership by rewardin..."
image: "https://sms4smile.com/quotes/i/c23/max-h-bazerman-94805_blind-spots_consider-the-recent-financial-crisis-and_2105438.jpg"
---

#  Consider the recent financial crisis and its link to…

![“Consider the recent financial crisis and its link to faulty reward systems. President Bill Clinton's objective of increasing homeownership by rewarding potential home buyers and lenders is one example. The Clinton administration "went to ridiculous lengths" to increase homeownership in the United…” quote by Max H. Bazerman](https://sms4smile.com/quotes/i/c23/max-h-bazerman-94805_blind-spots_consider-the-recent-financial-crisis-and_2105438.jpg)   [Download](https://sms4smile.com/quotes/i/c23/max-h-bazerman-94805_blind-spots_consider-the-recent-financial-crisis-and_2105438.jpg) [Open image](https://sms4smile.com/quotes/i/c23/max-h-bazerman-94805_blind-spots_consider-the-recent-financial-crisis-and_2105438.jpg)

> ““Consider the recent financial crisis and its link to faulty reward systems. President Bill Clinton's objective of increasing homeownership by rewarding potential home buyers and lenders is one example. The Clinton administration "went to ridiculous lengths" to increase homeownership in the United State, promoting "paper-thin down payments" and pushing lenders to give mortgage loans to unqualified buyers according to Business Week editor Peter Coy.””

[Max H. Bazerman](https://sms4smile.com/quotes/author/max-h-bazerman/)

## About This Quote

This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.

Critique of the Clinton administration’s policies that encouraged risky homeownership, contributing to the financial crisis.

**In simple terms:** Policy incentives led to unsafe mortgages and economic collapse.

Key Takeaway

Design safeguards against risky financial incentives.

Themes

economic policy housing market financial crisis ethical governance

Mood

analytical critical

Type

political economic

When to use this quote

- housing finance
- government legislation
- consumer protection

Key Concepts

regulatory oversight risk management public policy

Questions to Reflect On

- How can future policies avoid similar pitfalls?
- What safeguards protect borrowers?

A Different Perspective

Policies can have unintended consequences.

★ ★ ★ ★ ★   No ratings yet

[Blind spots](https://sms4smile.com/quotes/about/blind-spots/) [Clinton administration](https://sms4smile.com/quotes/about/clinton-administration/) [Clinton Objective](https://sms4smile.com/quotes/about/clinton-objective-4226291/) [Economics](https://sms4smile.com/quotes/about/economics/) [Ethics](https://sms4smile.com/quotes/about/ethics/) [Financial crisis](https://sms4smile.com/quotes/about/financial-crisis/) [Homeownership Rewarding](https://sms4smile.com/quotes/about/homeownership-rewarding-4226288/) [Housing bubble](https://sms4smile.com/quotes/about/housing-bubble/) [Increase Homeownership](https://sms4smile.com/quotes/about/increase-homeownership-4226290/) [Increasing Homeownership](https://sms4smile.com/quotes/about/increasing-homeownership-4226289/) [Money](https://sms4smile.com/quotes/about/money/)

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## More by Max H. Bazerman

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