Community re-investment act

21 FEB 2009 | mike acker

[Mike Acker]

How many references to the Community Re-investment Act have you seen on the news recently? Check WorldNetDaily Henry Lamb wrote a good piece on that Act and published it there, on WND. It is at the core of the bank failure.

bottom line it is government meddling that caused the bank failure

and the meddling known as trade agreements has helped foreign countries to control our markets so that today just about everything is made overseas and sold here

our credit card is maxed out

we are broke

and it is due to government meddling

Remember the most important date in history: April 12th, 1861. That was about government meddling also.

[Dick Bachert]

In a column on the financial melt-down published around 11/30/08, New York Times columnist Thomas “The Earth is Flat” Friedman treated readers to yet more classic MISinformation so typical of the soon-to-be-bankrupt Times. Could their long history of historical revisionism be the reason they’re in trouble? But that’s a topic for another post.

Friedman portrayed the greedy bankers and Wall Streeters as the villains.

Yes, many of them may have gamed “the system,” bundling this “junk” into “derivatives” even PhDs in economics didn’t understand.

But if that “system” hadn’t been created in the first instance, the gaming would not have even been possible. Friedman conveniently failed to mention that the system was a creature of the 1977 Jimmy Carter sponsored “Community Reinvestment Act.”

Allegedly designed to make the American Dream of home ownership available to all, it was expanded in the Clinton years to include even those with virtually no prospect of repaying. Lenders who refused to “get with the program” were threatened with loss of their charters.

Until it unraveled, it was a brilliant Democrat vote-buying scheme.

And as it unraveled, Barney Frank, Chris Dodd, et al weren’t content to stand silently by and watch: They were the head CHEERLEADERS for the failing, soon to be bankrupt philosophy and agencies that triggered the current world-wide economic melt-down! These clowns are either too stupid to hold public office or the new poster boys for UNINTENDED CONSEQUENCES.

THEN AGAIN, GIVEN THE LONG QUESTED FOR LIBERAL EXPANSION OF POWER AND GOVERNMENT, ANYONE ELSE BELIEVE THEY WEREN’T SO UNINTENDED?

For all the pain they have caused with their idiocy, these alleged “leaders” should be hauled into a courtroom and tried. If found guilty, I think public hangings are in order.

Bin Laden and his ilk have long sought to bring this country down economically. With that job now done by Frank, Dodd, Reid, Carter, Clinton, et al, the Islamofascists can now devote themselves to full time bomb building.

And for those who think I exaggerate, here is some of the rare wisdom offered by a former President (with whom I have many problems but at least got THIS part right):

“At what point shall we expect the approach of danger? By what means shall we fortify against it? Shall we expect some transatlantic giant to step the ocean and crush us at one blow? Never! All the armies of Europe, Asia and Africa combined with all the treasure of the earth (our own excepted) in their military chest, with a Bonaparte for a commander, could not take a drink from the Ohio or make a track on the Blue Ridge in a trial of a thousand years.

“At what point, then, is the approach of danger to be expected? I answer, if it ever reach us it must spring up amongst us; it cannot come from abroad. If destruction be our lot we must ourselves be its author and finisher. As a nation of freemen, we must live through all time, or die by suicide.”
Abraham Lincoln, 1837

[Mike Acker]

here is the link to Henry Lamb article on WND

[pleikumud]

Beginning in 1992 Congress pushed Fannie Mae and Freddie Mac to increase purchases of mortgages going to low to moderate income people. In 1996 HUD gave Fannie and Freddie an explicit target: 42% of their mortgage financing had to go to borrowers with incomes below the median. This target was increased to 50% in 2000 and 52% in 2005. In 1996 HUD required that 12% of all mortgages purchased by Freddie and Fannie had to be “special affordable” loans, meaning loans to borrowers with income less than 60% of their area’s median. The 12% dictum was increased to 20% in 2000 and 22% in 2005.

Congress, particularly Democrats such as Barney Frank of Massachusetts, caused the current crisis. McCain actually warned against the irresponsible trends at Fannie and Freddie. Now the Democrats (i.e., Socialist) say we need more government intervention to solve the crisis. Government is not the solution; government is the problem.