Posted on 10/04/2008 8:57:42 PM PDT by surfer
If I have made any mistakes please clear them up for me with your comments. Thanks for reading.
You left off clinton - he pressured banks.
But I'm afraid that none of this matters now, because the majority of our elected Republicans are far too interested in just getting along with the Dems than standing up and pointing the finger where it should be.
Also,there are far too many apathetic Americans out there who live only for NASCAR, or either the Life Time channel, and they hear a sound bite by one of the MSM, and that's all they will ever know about anything going on outside their little world.
And with an electorate like that, what hope do we have?
Thanks for the comment. The Clinton reference is in there. ACORN actually had much of a stronger impact forcing banks to make the bad loans and ACORN did it with an attorney who name is Obama.
Barney Frank and fannie mentioned together is a scary thought. :<(
Consider your editorial peer reviewed.
It passes muster.
LOL...well you know Barney will be behind you all the way!
The Fox news channel covered this earlier in the evening, some professor-like man talking to the guy whose hour, or half-hour it was...covered all the bases you covered here, from FDR, LBJ, Carter, right up the line. The mystery is why would the financial institutions buy all these risky mortgages, apparently group them together, and sell? them again in increasingly larger groupings of mortgages...and sell them to who? And why? Why buy mortgages that were rated at something like 50% chance they’d fail? And who would buy ‘em? Shrug.
The bundle is a way of mixing different grade paper.
For example you can bundle low risk mortgages with high risk mortgages to create a blended value and risk.
The biggest issue is that people like Reins thought that property was such a good investment that the risk ratio for these instruments only needed to be 2%. Huge mistake.
They also didn’t account for speculators driving up new building and thus creating a surplus of homes in many markets this ultimately helped the bubble to pop and as soon as you have a home that is worth less than the mortgage and you have no down payment at stake you are now basically in the same position as a renter so you might as well leave and pay less for more somewhere else.
It amazes me that we continue to repeat history. Sheeple, sheeple, sheeple.
You see evidence of this with homes marked “below county appraisal” and “for sale less than the purchase price”. People are scrambling to get out of their properties and into cheaper houses.
Right now it is a buyer’s market and a lot of people are getting good deals.
Linking this to the Timeline Project / Link List of Bailout History
http://www.freerepublic.com/focus/f-bloggers/2093845/posts
Why this isn’t shouted from the roofs over and over - I’ll never understand. But you are doing your part - so thank you!
Since McCain has no cred on the economy, can Palin the outsider start hammering on this stuff, or are they both shifting to Obama character issues?
PING
Not defending Fannie/Freddie nor any of the Dims who enabled their fiscal tomfoolery, but there are other, maybe greater influences in the subprime mess, to wit----->Investment Banks Provided Subprime Lenders with Critical Funding.
Hi FGS,
Thanks for your comment. I agree there are many factors however if you look at the entire picture of cause and effect and remove the corrupt activities specifically of Frank and crew and Fannie/Freddie then none of this meltdown would have happened.
Ok if you don’t want to take that road then look at the calls for oversight,etc on Fannie/Freddie then if that was allowed to happen then this crisis would have been much less.
Then you add in the fact that we caught Freddie/Fannie red-handed cooking their books (and only god knows why the SEC is still investigating - I can give you a clue - too many people in Congress have their hands dirty) and yet we still do not provide oversight to this quasi-private company.
Regardless of the other factors - Freddie and Fannie are absolutely critical to how this financial mess occurred. This debacle dwarfs anything we have ever seen before and it will take decades to reverse this and in fact the more legislation we try to fix this will only prolong the agony around it.
See http://www.youtube.com/watch?v=exxVZTKq1vA
See also http://www.youtube.com/watch?v=1RZVw3no2A4 for a really good 10 minute video about the problem.
Demoncrats - http://www.youtube.com/watch?v=_MGT_cSi7Rs
Doesn't sound like you read the article I linked. In case you haven't noticed, there have been several mega failures, that due to the amounts of $'s involved were most likely not related to the two GSE's problems. BUT, were caused by essentially the same problem - loans going south. The investment bankers have a lot more at stake than the GSE's because they have considerably more exposure. Not just in MBS's but derivatives also - which is the REAL killer. THAT'S who this bailout/rescue/boondoogle was designed to help - IMO of course.
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