To Loan Or Not to Loan: A Subprime Dilemma (Case Study) by Journal of the International Academy for Case Studies

To Loan Or Not to Loan: A Subprime Dilemma (Case Study)

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  • Genre Law
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CASE DESCRIPTION Students face a bank's decision to enter or not enter the subprime home lending market. The situation is set just prior to the problems that arose in 2007-2008. The case provides aggregate economic data available at the end of 2006 and asks students to utilize this data in recommending whether or not to enter this market. The case has a difficulty level of three and is designed for a junior level course. Including student presentations, the case is covered in three class hours. It is expected that students will spend 3-5 hours outside of class preparing this case.

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