I just heard this on NPR, and could not have said it more succinctly myself...paraphrasing....
The problem is not the banks, the problem is not toxic assets, the problem is not Wall Street, the problem is not the housing debacle. The problem is us, we the people. We have been living an ever increasingly high (luxurious) standard of living for the past 25 years. Here is the kicker. We have been paying for it using BORROWED money.
We. We, the people are the ones responsible for where we are.
Have a nice day.