|By Constantinides, Panos|
The introduction of mortgage securitization in the
Keywords: Information Infrastructures, Mortgage Securitization, Calculation, Risk, Legacy Assets.
The practice of mortgage securitization, which constitutes the main innovation in mortgage financing since the 1970s (Fligstein & Goldstein, 2010; Quinn, 2009), was heavily implicated in the emergence of the 2008 financial crisis. In the US, securitization emerged in the 1970s as a political campaign of the Federal Government to seek additional means to finance the housing needs of the American people. In other words, securitization was an invention of the
Although securitization emerged as a "social policy innovation" as part of the
By the 1990s, mortgage securitization practices spread to the