NATIONAL ECONOMICS UNIVERSITY

BUSINESS SCHOOL

……oOo……

Subject: Critical Thinking in Business

L Student Name: Nguyễn Quốc Khánh

C Student Number: 11223064

Class: EBBA 14.1

Instructor: Prof. Soren

During the course of studying "Critical Thinking in Business", I watched the

movie "The Big Short". I was quite interested in this movie and chose it as an
individual assignment. This is a movie based on a completely true story, about
the 2007-2008 financial crisis.

Before going into analyzing the movie, let's talk about the economy at that time.
The late 90s and early 2000s were a marked time for new technologies and the
Internet to be born. When companies are involved in technology or ".com",
people rush to buy shares of those companies. "The Big Short" is about a small
group of individual investors and hedge fund managers who discover that the
US real estate market is on the brink of a major crisis due to subprime
mortgages. . They decided to bet on a market crash, an action that could both
yield huge profits and expose the greed and malfeasance of the banking
industry.

And through the film, I realized that the film not only gives an economic
perspective but also a story about ethics, responsibility and the consequences of
how greed affects:
- The complexities of the financial world differ from textbooks: Students at this
age are often just beginning to be exposed to complex financial concepts. "The
Big Short" explains these concepts (like subordinated mortgage loans, CDOs,
and credit default swaps) visually through easy-to-understand situations and
characters, helping viewers better understand the principles. cause of the crisis.
From the movie, I also learned some financial terms: "MBS - Mortage-Backed
Securities", "CDS - Credit Default Swap", "CDO - Collateralized debt
obligation", ... intuitively through the details. of the movie, the characters in the
movie. This helped me better understand the causes that led to the 2008
financial crisis.

- Each person's reaction to the financial crisis: The film also shows us different
reactions to the financial crisis. Each person has a different way of reacting:
Some people are ready for everything to speculate for this crisis, some people
suffer from the crisis and sell mortgaged assets because they cannot pay interest
to the bank, leading to lost almost all of their assets,... But through such
reactions, I also thought about business ethics when the main characters decided
to invest in the market collapse, making profits from the collapse. the suffering
of others. I think everyone has their own opinion, but because they want to
speculate without warning, it leads to the economic collapse of a country within
a few years, maybe even the whole world because of the US economy (one of
the the economy with the strongest influence on the world). This is really not
worth it, maybe due to greed or some issues... can lead to changing a person's
decision.
In conclusion, "The Big Short" offers a cautionary look at what can happen
when financial and psychological factors combine dangerously. The film
encourages viewers to always be skeptical, research carefully and not get caught
up in the crowd, especially in investment and financial decisions. In this way, it
is not only an entertaining film but also an important lesson about caution and
responsibility in the financial world. The film emphasizes the importance of
understanding and managing risk. The main investors in the film have realized
that the US real estate market, which everyone believed to be safe, is actually on
the brink of a crisis due to the explosion of subprime loans. One of the main
causes of the crisis is greed and denial. Many in the financial industry refuse to
acknowledge that the real estate bubble could burst, and even when there are
clear signs, they continue to promote their risky business model.
This is my LinkedIn profile, I want to join some industry like Esports. So on I
learn something like Editing, Content to improve my skills in the future.