- Released :October 8th, 2010
- Directer : Charles Ferguson
- Narrater : Matt Damon
- Production and Distribution company : Sony Pictures Classic
- Locations : New York City & Iceland
- Producers : Audrey Marrs and Charles Ferguson
How does this film relate to economics?
This film presents the top 2 activity levels, quandary and quinary. Many professors, CEO's, lobbyist, and government officials were interviewed, they all described their own opinions on the financial crisis that came to our world in 2008 as well as answered question based on their job position. All the strategies that were used from banks and large corporations affect the world's economy in some way. For example, whenever the Lehman Brothers went bankrupt and collapsed, it cost the U.S. billions and billions of dollars to bail them out. In result to this, we went into major debt as a country.
What is the bias of the film? Does it present objective information?
Many big investing companies and banks "lied" to its customers. They stated that all their loans were AAA rating, (the best of the best), in result of this, large corporations bought the loans and ended up digging a bigger hole for themselves. Also some of the men that were interviewed answered the question as if they had no blame and that it was the companies fault. This film present many aspects of objective information, Damon talked about how we were stable before but as the world grew, so did the economy and the greed. Another point that he brought up was the aftermath, Lehman Brothers going bankrupt which resulted in Fannie Mae, Freddie Mac, GM (General Motors), and Chrysler all following Lehman Brothers footsteps.
Synopsis of this film
Matt Damon narrates a story about how the 2008 financial crisis happened. He explains how our world was before and the events that led up to this tragic event. This film was split up into 5 sections, a before, a middle and an end. Many different people with many different jobs were interviewed, they explained their thoughts and opinions as well as answered any questions that were asked of them. Damon also explained key concepts that were present in the film like derivatives, CDO's, credit swaps and many more. Not only was this to entertain, but it was also meant to inform. Ferguson made this an eye opening film to see how despite regulation laws, our banks are currently growing and are only going to get bigger.
Own opinion of this film
Personally I really enjoyed watching the film. Even though it was a lot of information thrown at you, it still was an eye-opening documentary. It made me have a better understanding of how our government works and where our money that we invest actually goes. I am now more aware of "scams and fraud" that may happen whenever I get older. In my belief, I think that every high schooler should watch this sometime before they graduate because they will then be able to avoid any financial problems as they grow up. A question that still lingers in my mind is "Why is no one punished for creating this crash in our economy?", what companies did to millions of people isn't okay and it never will be. I don't fully agree or disagree with this film. Many times I did disagree with what the outcome was or what the action that took place was but at some moments I did agree. After watching it I did do research to further my knowledge about this tragedy that came up in our history.
"The financial industry is a service industry. It should serve others before it serves itself." -Charles Lagarde
"For years the American financial system was stable and safe. But then something changed. The financial industry turned it's back on society, corrupted our political system and plunged the world economy into crisis." -Matt Damon
How did the bailout for Lehman Brothers affect other corporations and future bankruptcies?
When we bailed out the Lehman Brothers, we spent billions upon billions of dollars to do this simple action. In result it made the U.S. fall into bigger debt then what we already had. It also will affect other corporations because it puts them at a higher risk of going out of business.
Thinking about the affect from our 2008 crisis, what would the world look like if one were to happen right now?
I believe that the affects will greatly increase. More people will lose their jobs, more people will lose their savings and no one will really know what to do. As our world and population is growing so is everything else, the technology, people's pay rate, more job opportunities, they all seem great now but if another crisis were to happen, all of that will come back and bite us in the butt.