It is not always easy to predict a collapse of a financial bubble, but there often is something that indicates it in advance.
In the case of the subprime mortgage crisis in 2008, some famed fund managers such as George Soros or John Paulson knew it could be as serious as it eventually happened to be. This article explains the economic situations during the crisis and shows the statistics that preceded to imply the timing of the collapse of the stock markets.
Continue reading How you could have predicted the financial crisis in 2008