During its 160 year history, the savings and loan industry has had its share of turmoil, but no previous situation rivals the events of the 1980s. During this period 525 insolvent S&Ls (or thrifts) were liquidated or sold. The cost was so enormous that in 1989, President Bush announced that taxpayers would have to bear the burden of the bailout at the expense of much needed education, welfare, and infrastructure improvement programs. The situation was so financially complex that few taxpayers truly understood what had occurred. This essay will examine the savings and loan disaster. The intent is to provide a detailed, yet generalized, view of the history of savings and loans leading up to and through the crisis.
© 1992 by the Board of Student Publications, University of Northern Iowa
"The United States' Savings and Loan Bail Out Effort: A Discussion and Critique,"
Draftings In: Vol. 7:
2, Article 5.
Available at: https://scholarworks.uni.edu/draftings/vol7/iss2/5