Inside the Meltdown
The documentary “Inside the Meltdown” provides and account of the unethical and questionable practices performed by Wall Street financial institutions and other private mortgage corporations that nearly caused the financial system in the United States to crumble as well as had a devastating impact on international financial systems.
Following are some of the key Value-Driven Leadership qualities provided in Maxwell (2007) according to David’s picture of a leader in Psalm 15:1-5:
▪ Possesses integrity ▪ Does what is right ▪ Is honest and trustworthy ▪ Does no harm to others
▪ Keeps their word even when it costs them ▪ Speaks out against wrong ▪ Is strong and stable
▪ Isn’t greedy to gain at the expense of others
(Maxwell, 2007, p. 674)
Business leaders (CEO’s, Executive Leadership, Employees, etc.,) must demonstrate integrity in their decisions and guard against the temptation of illegal business practices. Integrity, values and moral character are key qualities for a business leader and the success of the companies they are appointed to lead. Banks approved the subprime mortgage loans after possibly reviewing the applications, however, the banks showed they had no intention of keeping the loans and then later sold them to other financial institutions and investors.
Financial institutions and executives condoned engaging in the risky home market without any concern for long-term ramifications on customers, employees or effect on the Western World or international financial infrastructures. Driven by profitability, the financial industry contributed to the disappearance of any sense of fiduciary responsibility to the public as shown by their actions.
The Meltdown crisis is the worst event since the great depression and cannot solely be placed on the financial institutions and its leaders. Consumers share in the blame as they knowingly applied for mortgage loans knowing they could not afford them.