3 of 10
BACKNEXT
Great Recession
The Fed's crystal ball often seems to be broken. Just months before Lehman Brothers went belly-up, Fed Chairman Ben Bernanke told Congress he expected only small banks to fail as a result of the housing bubble bursting.

"I don't anticipate any serious problems of that sort among the large, internationally active banks that make up a very substantial part of our banking system," he said in February 2008.

Lehman filed for bankruptcy in September.

In July, Bernanke also claimed Fannie Mae and Freddie Mac were "in no danger of failing." The Fannie and Freddie bailout that followed is on track to be the most expensive government rescue of the financial crisis. It's at $153 billion and counting.



NEXT: Everyone spikes the punch bowl
Last updated March 24 2011: 3:05 PM ET
More Galleries
Revolving door: Washington to Wall Street Former House Majority Leader Eric Cantor is headed to Wall Street. See who else has jumped the political ship for a lucrative career in finance. More
How to keep your naked photos out of hackers' hands Follow these steps to make sure that your nude photos and other sensitive information won't get hacked. More
9 reasons to be excited about Windows 9 Microsoft is expected to begin showing off Windows 9's features later this month. Here are the expected changes you should be thrilled about. More

Special Offer
Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.