because they think their worst case scenario is what happened to them in the mortgage crisis. that s a good point. that isn t necessarily equivalent to what would happen here because, you know, it s a very different than that even though that s a bigger market, there are different richgss here. the ceo of jpmorgan chase said auto is stretched. he said someone is going to get hurt, it won t be us, our bank because we have very little subprime. but he also said as you point out it s not systemic. this is a trillion dollar market versus an eight or nine trillion dollar market however it is a risk to the economy. if you coupled this with all the concerns about outstanding student loan debt? it s not too much further away. just in the total loan volume from the student loan crisis. i think the bigger issue here, i said there s two reasons to care. number one is we just had a president who got elected donald trump because of frustration and
discussed. with china being in the condition it s in, we know how linked we are to china, when does that start to make you nervous? two things. one, china maybe they don t grow at 7%, maybe it s 6.5% concern. jenna: what if it s 2%? that s something we ve been hearing for so long. the chinese stock market is still up 80% in the last 12 months. things are not dire over there like everybody says. jenna: dan, that s one of the arguments that we re the better off of the bunch. the question becomes when is that not good enough? you might be the better of the bunch, but you re still not doing great? if we rook at the cast of characters that created where we are now going back to 19 2008, inflating the markets, everything was going to be contained, the subprime, and now if the chinese can manipulate their stock market, how do we know what s going on here, is number one. number two, going back to matt and i respect matt. jenna: you both like each oh. i m not a long-only manager.
could end up back in new york. we saw it with lehman brothers we ve seen it with subprime. we ve seen it time and get. wolf they say the financial system is better equipped to cope with these sorts of pressures, but what we are seeing at the moment is people saying we re not so sure. how worried should our viewers be, richard? reporter: not particularly at the moment. certainly if they re coming to greece putting it in the most basic terms, if viewers are visiting greece they can take out as much money, the weather is glorious a great holiday will be had. however if the greek crisis really does impact the eurozone yes, you will see market volatility but i think this is classic, this is classically one of those occasions where you
20 years ago, we said all the kids who aren t going to college are being the victim, now it s turning out a lot of the kids who are going to college are also the victims. it s like a sub prime mortgage broker who ripped you off and talked you into buying a house you couldn t afford. education in some ways is even more insidious than housing. there actually isn t the same kind of safety valve in the student loan market you see in the mortgage market. there s no such thing as disclosure or bankruptcy. over half of loans today are either in deferment or default. when you default on your loans, the interest is applied to the princip principal. so you see original balances in the 10s and 20,000 ballooning up into $100,000. rt staing out $78,000.
but it turned out you were right. there was a meeting, first of all, you were the one who kept telling me about subprime, that the mortgages were going to run over. the people who didn t have good credit. the only place i could be myself was when i was with you, and yes, that was myself. we were trying to warning people. the fed did laugh. there was a laugh line about me in the minutes that came out, bernanke and bill poole was one of the fed heads saying kramer didn t know what he was doing, but i was your biggest fan after that. they did say we got it right, erin. we got it right. you got it right. and you have been vindicated over time. i want to get advice from you just because you re here. facebook came out with earnings today, a name you said you liked, but apple, we talk about it a lot on the show. i want to get you view and what to do with it. they came out and things were not good for apple. you write that apple actually had a failure. not a word usually associat