"Caused by government deregulation" could also be phrased as "not prevented by regulation, while caused by financial markets".

The rest of the market recovered quickly once the government re-arranged debt and prevented a full collapse.

But the lesson was that private debt was accumulating too quickly on a shaky basis, catalyzed by financial markets making the issue orders of magnitudes worse. Rapid private debt accumulation is still not discussed enough today for my taste.