National finance expert talks on sub-prime mortgage meltdown April 25 The sub-prime mortgage crisis is an ongoing economic problem manifesting itself throughout the banking system, which had led to a growing global financial crisis, including the recent Bear Stearns collapse and buyout. The crisis began with the bursting of the U.S. housing bubble and high default rates on "sub-prime" and other adjustable rate mortgages (ARMs) made to higher-risk borrowers with lower income or lesser credit history than "prime" borrowers. During 2007, nearly 1.3 million U.S. housing properties were subject to foreclosure activity, up 79 percent from 2006. As of Dec. 22, 2007, The Economist estimated sub-prime defaults would reach a level between U.S. $200-300 billion. The Department of Economics will host author, consultant, and nationally renowned financial expert Ed Kane, who addresses this very issue in his upcoming presentation, “The Making of the Sub-Prime Mortgage Meltdown,” set for Friday, April 25, at 3 p.m. in Room 1, Gamble Hall. Kane asserts problems now facing the mortgage market are a function of lax supervision by many public and private agencies. The event is free and all members of the UND community and Greater Grand Forks businesses are invited to attend; however, RSVPs are requested. To reserve your seat, please call 777-0879 or e-mail: pamelaburkes@mail.business.und.edu. Ed Kane is the James F. Cleary Professor of Finance at Boston College. Currently, he consults for the World Bank and is a senior fellow in the Federal Deposit Insurance Corporation’s Center for Financial Research. From 1972 to 1992 he held the Everett D. Reese Chair of Banking and Monetary Economics at Ohio State University. A founding member of the Shadow Financial Regulatory Committee, Kane rejoined the organization in 2005. He served for 12 years as a trustee and member of the finance committee of Teachers Insurance. Kane has served as a consultant for numerous agencies, including the Federal Home Loan Bank Board, the IMF, various components of the Federal Reserve System, and three foreign central banks as well as the Congressional Budget Office, the Joint Economic Committee, and the Office of Technology Assessment of the U.S. Congress. He is a past president and fellow of the American Finance Association and a former Guggenheim fellow. He also served as president of the International Atlantic Economic Society and the North American Economics and Finance Association. Kane is a longtime research associate of the National Bureau of Economic Research. Besides authoring three books, he has published widely in professional journals and currently serves on eight editorial boards. He received a bachelor's degree from Georgetown University and a Ph.D. from the Massachusetts Institute of Technology. Please join us for this interesting and informative event. For more information, check out www.business.und.edu. -- CK Schultz, Director, External Relations, College of Business & Public Administration, ck.schultz@mail.business.und.edu, 777-6937