Foolishness and Folly Quotes in The Big Short: Inside the Doomsday Machine

How we cite our quotes: (Chapter.Paragraph)

Quote #7

Wing Chau didn't know he'd been handpicked by Greg Lippmann to persuade Steve Eisman that the people on the other end of his credit default swaps were either crooks or morons. (6.18)

Steve Eisman spends a lot of time wondering whether he made the wrong decision about the subprime market—until he meets Wing Chau. Chau is a super-wealthy CDO manager who also happens to be a total buffoon, and his complete lack of understanding of the product he sells is simply staggering. It shows Eisman the caliber of people on the other side of his trades.

Quote #8

These people believed that the collapse of the subprime mortgage market was unlikely precisely because it would be such a catastrophe. Nothing so terrible could ever actually happen. (6.28)

Just like a person represses a traumatic memory, the financial market tries to ignore anything that doesn't fit into its narrow view of the world. This, ultimately, only worsens the crisis, as it could have been avoided many times over if Wall Street had simply examined the things it was doing. But it didn't. In the words of the great financial analyst Mr. T: "We pity the fool."

Quote #9

Vinny, always darker, said, "There were more morons than crooks, but the crooks were higher up." (6.50)

This is the eternal question of The Big Short: Was the crisis caused by fools or con artists? It's probably a mix of both, as Vinny says here, but we're not sure if the answer really matters—all that matters is the consequences of their actions.