... significantly more than the other about the underlying structure of the securitiesinvolved. At the top layer of the cake, an investor might know absolutely nothing about the hundreds of thousands ... esbetween banks rose dramatically, almost overnight, in August 2007, as banks became moreuncertain about which of their counterparties might be holding the cakes with tainted frostingand possibily ... collateral, creating a viciouscircle.Gorton strongly disagrees with the “originate-to-distribute” explanation of the crisis.This term, which became common in the summer of 2008, contrasts the previous...