In "The Big Short," author Michael Lewis discusses the consequences of financial losses in investment pools, emphasizing the far-reaching effects such losses can have on society. He quotes a comment asserting that a mere 10 percent loss could result in a million people becoming homeless. This statement highlights the potential severity of financial downturns, especially for those who are already vulnerable.

Lewis further elaborates that the reality was even graver than initially perceived, as losses in the pools bet on by Hubler's group ultimately reached a staggering 40 percent. This statistic underscores the precariousness of the financial system and the devastating impact that widespread losses can have on individuals and communities, illustrating the interconnectedness of finance and social stability.