The 'Inside Job' 2010 Film

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The ‘Inside Job’ 2010 Film
Summary of The Film
The film provides a detailed analysis of the financial crisis that occurred globally in 2008.
This crisis brought about drastic effects such as; people lost their jobs, others even lost their
homes this resulted in a huge financial crisis, (de Goede, 59). Comprehensive research work was
conducted which included interviews with politicians, financial insiders, academics and
journalists. This research aided in the tracing of the emergence of an industry that was rogue,
(Fourcade, 95). This rogue industry led to the corruption of politics, academia, and regulation.
The film is in line with a narrative that is divided into five sections. The major focus in
this film include; the changes in the industry of finance which led to the financial crisis, the
movement towards lack of regulations which was mainly political and the ways that complex
trading development, for instance, the market derivatives allowed for the emergence of the crisis.
In the description of the crisis, the film also covers the conflicts of concern in the sector
of finance, (Mateer, 205). It postulates that these conflicts of concern affected the agencies of
credit rating and also academics who were funded as consultants. This conflicts of concern also
aided in the making of the crisis obscure since they were not disclosed.

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A major topic is the financial industry pressure on the processes of politics to shun from
regulations and ways in which they are applied. One conflict of concern is the force or influence
brought about by the revolving door. In this, the regulators of finance could be employed after
leaving the government and thus make a huge amount of money.
In the market derivatives, the film opposes or combats the larger risks that started by
subprime lending were carried on from investors to other people who were also investors,
(Carender, 215). This was because of the rating of prices which was questionable that made the
investors believe that the investments were secure or safe. Therefore, lenders were obligated to
sign mortgages without considering the possibility of risks and also not even in favor of the loans
which had a higher rate of interest because once the mortgages were brought together and
packed, the risks were camouflaged.
According to the film, the products that resulted would in most cases possess AAA
ratings which were equal to the bonds of the US government, (Brown, 86). Thereafter, the
products could be utilized by investors too, for instance, the funds of retirement. In contrast,
these investors who use these products are mainly expected to invest in safer grounds.
One theme which few people may have handled is the contribution of Academia in the
financial crisis. Fergusson makes a note that, for instance, the economist of Harvard University,
the former council head of advisers of the economy during the reign of President Reagan, Martin
Feldstein, directed an insurance company and was a former member of the board of bank of
investment.
Fergusson also makes a note that a variety of professors who are leading and the leading
members of the faculties of business and economic school establishments in most cases have

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large amounts of their incomes coming from their engagements as consultants or the
engagements of speaking, (Tseronis, 335). For instance, the Dean of the Business School of
Colombia named Glenn Hubbard, retrieved a large amount of his income annually from either
speaking engagements or being engaged as a consultant. He was also associated with BlackRock
and KKR financial. Hubbard together with the Chair of the Economics Department in Harvard,
Campbell, refuse the availability of any conflict of concern between the banking sector and
academia.
The film terminates by opposing that, even though financial regulations exist, the system
underlying is not different. The banks remaining are only becoming big but the incentives are
just the same and no executive has been judged or prosecuted due to the financial crisis. The
possible solution is regulating the investors and prosecuting all those executives involved in the
crisis of finance.
The IR liberal perspective of the film
From the liberal perspective, trade through the world system of finance and engagements
aided in the creation of wealth and prosperity due to a number of reasons. To begin with, the lack
of government regulations removed all the barriers to trade or investment, (Clarke, 45). People
could venture in any business regardless of the risks related to the business. This aided a lot in
trade expansion since one could invest anywhere.
Another reason is due to the lack of prosecution from the court of the government. Since
the investment was based on free will, no one was judged by the court on matters pertaining to
what they invested in. Due to this freedom of trade, people ventured in various areas and trade
thus expanded. As a result, people wealth increased and thus they prospered well.