You just dont get it. There was no deregulation, they cut very little regulations but then put in much more. The government subsidized the risk for banks so banks gave out more loans. If government didn't get involved this wouldn't have happened.
It wasn't the govt that drove excessive risk taking, but rather greed & the enormous compensation for financial execs, aided & abetted by the Bush admin notion that banks could be self regulating.
Those execs didn't care if they rode their corporate steeds into the dirt, because they were getting theirs in the meanwhile in enormous measure. Only in enormous risk could they receive enormous compensation, and it wasn't their money at risk, anyway, but OPM.
March the company up to the edge of a precipice for a $50M bonus? If you think that kind of proposition wasn't irresistible to the psychopaths who've come to run finance, I might be able to sell you some Arizona oceanfront.