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Was financial melt down even caused by CDO's? It was caused by sub prime mortgages mainly by Fannie and Freddy and everyone knows that however people those who are in power want to look other way because they want to continue with that, finally they have to put the blame on something, and this is something.

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Sub-prime mortgages - even in the billions - were not enough to cause total financial implosion. However, CDO's (the value of which exceeded, I believe, $45 trillion), most certainly could.

So yes, yes, a hundred times yes. Fraudulently-rated CDOs were the heart and soul of the Crash. That, and extreme regulatory capture (which is something else that people who can't even afford home payments are unlikely to buy).

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