It was not the short selling ban in 2008 that took down Lehman Brothers or created the financial debacle. It was too much leverage and bad lending. The short selling ban is just something that happened along the way. Blaming the financial crisis on the short selling ban is like saying that the market goes up when I clap my hands because the last time I clapped my hands the market went up.
The blame for the market action of the past few days has been largely laid on the short selling ban from Germany. Germany's short selling ban changes nothing. These imbalances have been building for years and the day of reckoning was a matter of if not when. It gives people who can't take the pain of their positions anymore an excuse to sell and blame it on someone else. My trade was good but stupid Germany tripped me up.