Skip to comments.Is this what you'd call a smoking gun? [Flashback 1993]
Posted on 10/06/2008 11:57:36 PM PDT by bad company
MR. RUBIN: Hi. I'm Bob Rubin, the Assistant to the President for Economic Policy, and I'm going to introduce today's topic.
The President, as you know, has a broad, comprehensive strategy for dealing with the economic problems of the country for putting the country back on the right track for the long-term. A lot of the legislative and executive actions that have taken place in 1993 have been pursuant to that long-term economic strategy of the President's.
An important component of that strategy is to deal with the problems of the inner city and distressed rural communities -- pursuant to his belief that we must make real progress in those areas if this country is going to be successful in the future for all of us. The reform of the Community Reinvestment Act is an essential building block in the efforts I've just mentioned.
In July the President asked the four banking regulators to reform CRA, to reduce paperwork in process and reward performance, and to get that done by January 1, 1994. We're delighted to report that that has been accomplished on schedule. And in conjunction with the President's Community Development Bank and financial institution legislation, which recently passed the House of Representatives, CRA reform will generate billions of dollars in new lending and extend basic banking services to the inner cities and to distressed rural communities around the country. ........snip
Q You said you were confident that this would increase lending. Looking forward five years, could you give us any indication of how much lending will be increased because of this, or how the composition of lending will change? Will there be, for instance, more lending to small businesses or lending to multi-family housing? Will there be more lending across-the-board, or would you expect disproportionate increases in certain areas?
MR. LUDWIG: Ken, you know that it's hard to give a hard and fast rule, particularly on a system where we want to be flexible, we don't want to have credit allocation or quotas.
At the same time, the CRA, for all its flaws, since 1977 it is generally agreed has increased lending in low and moderate income areas by tens of billions of dollars. We're all convinced that this is a material step forward. So it's very safe to say billions of dollars.
Will it improve the small business and the business lending? I think it's really -- almost certainly, yes. And the reason is because this is the first time we will be gathering and disseminating data. And when you take a business organization and you say you're going to be measured on data, you're going to be measured on the facts -- and particularly here in this small business -- for the first time it's going to increase lending.
This sure looks like the beginning of this current mess to me. What say you?
I say send this to Rush, Laura, Michelle, Ann, Sean, Lou, BOR, Team McCain, etc...
That’s the Clinton way, for sure.
Mods .. would probably be good, if you would, to add
(1993) after the title, so as not to confuse folks
that it’s current. Thank you.
I say Jimmy Carter formalized, legalized and institutionalized all that is bad and wrong in this Country.
From appeasement to terrorism, his legacy is that of a one man wrecking crew of all that is, or was, American.
The man should face a firing squad.
The posting of this article presents a tie-in to this article also from 1993:
Lets bump this up for the afternoon crowd.
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