Expect this history to continue going forward

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ABC Motor Credit, the finance arm of ABC Motor Company, has been making auto loans for 50 years to buyers of ABC's cars. It starts to package them up and sell them as auto loan backed securities. In its marketing materials, it shows that, for the past 50 years, none of its loans have defaulted. Based on our discussion of the Panic of 2007 case, do you expect this history to continue going forward? Why or why not?

Reference no: EM132045950

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