Skip to comments.Finally the Truth about the Housing Collapse
Posted on 02/17/2010 6:34:00 PM PST by PurpleMountains
First we all learn the truth about Man-made Global Warming; now comes the truth about the housing bubble and its collapse:
We are hearing lots of jokes about the Obamaites continuing to blame Bush for all the ills of America here in the year 2010. What has been swept under the rug, though, is the real blame for the economic meltdown of 2008 the policies and the corruption of liberal Democrats who first imposed the Community Reinvestment Act that was the proximate cause of the housing bubble, and then the actions of Barney Frank, Chris Dodd and Barack Obama who resisted all efforts to bring Fannie Mae and Fannie Mac under control.
The true facts finally come out in the open:
Fannie, Freddie Housing Goals May Exclude Subprime
By Theo Francis February 17, 2010 Business Week (Excerpt)
(Excerpt) Read more at forthegrandchildren.blogspot.com ...
Who in the Republican Party has the credibility and platform to tell the story?
Scouts Out! Cavalry Ho!
Nothing personal, but this is old news. The story is how the leftist media never covered it.
The facts about this have been suppressed by the government and the media for years. We have been lied to over and over again by the leaders of this country. The media shares in the blame for these shameless lies, as they did not want to jeopardize their access to the scoundrels lining their pockets in DC. We have a totally dysfunctional corrupt government and ABC, NBC, CBS are all implicated. Too bad most of America is watching Jay-Z, Beyonce and American Idol, while the government picks your pocket for the redistribution of wealth and creeping socialism in America.
The story is also the failure of the Republican leadership to talk about it in a way the American people can understand. Time after time the Democrats have shown the ability to articulate and stay on one message. A big lie, repeated often enough, becomes the truth. The Republicans cannot seem to find a message, must less keep repeating one. They allow the other side to set the agenda and therefore are always in the defensive.
Look at today. Obama and his Democrat friends are successfully labeling the Republicans as uncooperative partisans whose only contribution to public discourse is to say no. Where is the Republican answer? What do Republicans stand for? What is the positive agenda of the Republicans? My hearing aid is turned up and I’m waiting. . . waiting. . . waiting. . .
The Wall Street Journal carped on it back in ‘98. I’d never heard of Fannie Mae before reading the WSJ’s articles on what the sub-prime lending at Mae and Mac were going to do to the economy.
Barney Frank, Chris Dodd and Barack Obama
This will be cause for charges of treason
I seem to recall Bubba Clinton's Justice Department Civil Rights Division (Janet Reno and Deval Patrick), aided and abetted by demohacks in Congress, forcing banks to open branches and make loans in "under-served" communities with stiff fines and lawsuits promised for non-compliance.
CHEW ON THAT FELLOW REPUBLICANS
If you think that the CRA was the cause of the mess, you are missing the point. This is just GOP revisionism at work to cover up for Wall Street. It is a lot easier to blame the poor folks for the mess than to prosecute the scoundrels on Wall Street. I suggest you google “Issa House Report” and read what the GOP actually determined. CRA loans were less that 3% of the portfolio.
parsy, who has heard this before
so the fannie mae and freddie mac , acorn had nothing to do with it....yeah right. well your girl blanche lincoln is going down big time and viccy boy decided he wont run. feel the GOP revolution!
You’ve lost this arguement before.
SGT York who is paying attention.
You might want to try this link for a fairly thorough analysis. I can give you other links if you wish. Do not confuse CRA with sub-prime loans. They are not exactly the same thing. Hit the internal link to five part series and once you get there, the link to the next part is at the top of the page.
FWIW, the CRA loans did have an impact on lo-doc or no-doc loan process. What happened was, the poor folks paid their mortgages presumably because the alternative rent payment would be higher than the house note. The greedmeisters, impressed with the payment record of the poor folks extended the program to middle and upper classes thinking they would be as honest as the poor folks had been.
Silly loans began to get made so that the originators and subsequent securities sellers and traders could make big fees and profits off the sales and the subsequent side bets on the mortgages.
Now, the Wall Street apologists don’t want you to get p*ssed off, so they need someone to blame besides themselves. Soooooo, they get everybody’s favorite whipping boys, the poor folks, and are selling you a bill of goods on them so you don’t write your congress critter and demand they shut these gambling *ss SOB’s down. You see, Wall Street is still doing it.
parsy, who hopes this is helpful to you
I know, but I keep fighting on. I doubt it will do much good, but here and there, a freeper may actually wake up to the Wall Street nonsense. We can “not loan” to poor folks all day long and it isn’t going to fix the financial problems. Sooner or later, even Wall Street is going to have to pay the piper. They will run out of people t blame.
parsy, who hopes to rush that day up some
“This is just GOP revisionism at work to cover up for Wall Street. It is a lot easier to blame the poor folks for the mess than to prosecute the scoundrels on Wall Street.”
What ? So the “Wall Street” people just suddenly became greedy and that’s why this all happened ? It’s their job to be greedy and they always have been, it’s human nature for “the poor” to be greedy too, no one’s blaming them.
Those that issue/guarantee the loans have to be the responsible ones and they decided to turn the mortgage industry into another welfare program. Fannie, Freddie etc. were run by Clinton appointees as political entities and personal slush funds and they were paying off the dems in congress to make sure no one could interfere.
Were the lenders greedy ? Of course they were, they always have been. They could do whatever they wanted to get the loans done and pass them and the risk right off to Fannie/Freddie. In fact, they were punished if they didn’t make the risky loans happen. The percentage of loans that technically fell under the CRA is irrelevant, we all know what was going on here.
The real question is why did this all fall apart a month before the election just as Obama’s numbers were starting to falter ? 250 Billion dollars were suddenly pulled from the mutual markets during a 2hr. period and Bush was forced to do something. Did Soros engineer this ? There were reports of people having their mutual funds sold electronically and the money being redeposited later by the govt. Is there anyone investigating the timing of this ? The democrats built a huge house of cards and someone chose to knock it all down at just the right time to blame Bush and get Obama elected. Several months earlier Schumer tried to knock the first domino over by announcing Indie Mac was insolvent but it wasn’t enough.
This should be the biggest political story of the Century but no on in the media is questioning it.
“This should be the biggest political story of the Century but no one in the media is questioning it.”
I could not agree with you more on this point. And no, Wall Street didn’t just become greedy overnite and that is precisely why it was so stupid to deregulate thru the overturn of Glass Steagall protection. What in the world was going to keep Wall Street from going right back where it had been once before? Nothing.
And, if the grass roots type people keep living in la-la land, and fall for every stupid shill excuse out there, for example that the CRA caused this, we will be back there again.
This is not a liberal or conservative thing, or a GOP or Democrat thing, although I personally blame the conservatives and GOP more. There is plenty of blame to go around but it is not for the CRA which if anything, had a minimal impact.
I would not expect you to trust me. Read up on it. Read “Market Ticker” or “Naked Capitalism” daily. These people are hardly muley, pukey, liberals. They get down to the point, and trust me, they ain’t blaming the CRA.
Here’s a real good story from a Wall Streeter who wrote “Liars Poker.” He follows the tale of Steve Eismann who figured out the Wall Street con game and managed to make money off the nonsense.
I didn’t see any blame getting thrown onto the CRA. Wall Street wasn’t getting forced to do this stuff. Heck, you couldn’t stop ‘em. If you have been following the AIG-Geithner-Goldman Sachs thing, you might be getting a little taste of the problem.
parsy, who will send you another little tidbit shortly.
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