Skip to comments.Santorum blames 2008 mortgage crisis on $4-per-gallon gas
Posted on 02/27/2012 2:32:03 PM PST by VU4G10
Rick Santorum on Monday blamed the housing crisis on high gas prices.
During a campaign appearance in Michigan, Santorum said the housing bubble burst in 2008 because people could no longer afford to pay their mortgages because of high gas prices.
"We went into a recession in 2008 because of gasoline prices," Santorum said in Michigan according to Buzzfeed. "The bubble burst in housing because people couldnt pay their mortgages because of $4 a gallon gasoline."
(Excerpt) Read more at thehill.com ...
You should stop being so combative. You do know by now you are going to get Mitt Romney. Why? because Rick and Newt are splitting the vote.
Newt is not going to have a major comeback. Once you flame out in this race, you are done. If you have money, you can hang on, but it won’t help any.
After tomorrow, we will know if this race is over. Mitt wins Michigan and Arizona, he will be on a roll and the other two will be on the way out.
So, cut it out. No victory here for anyone.
Man this is ignorant.
The crisis started because loans were made to people who should not have qualified for the loans. People who did not even have enough slack in their income to absorb a gas price increase.
It was a symptom, not the problem Santorum! In statistics, correlation is not CAUSE you idiot! That’s a Democrat trick straight out of the book, “How to Lie with Statistics.”
I don’t care how socially conservative he is, he’s clueless on the economy and this country does not have enough time to find out if he can learn quickly enough.
Of course I don’t know if he made any qualifying statements that other factors might’ve been in play—but this comes perilously close to the logical fallacy of Post Hoc Ergo Prompter Hoc where the rooster thinks his crowing every day causes the sun to rise.
Whether or not so many should have be incapable of riding out that gas price rise is a seperate question than whether or not they in fact were. Whether the open gas can (over extended debt) or the match (gas prices) caused an explosion can itself become a circular arguement.
Intelligent people may debate it, but FReepers cannot be so idiotic/loony as to really think it can be dismissed with an insult.
Oh for crying out loud.
And our choice is this clown or Romney?
I’ve got to go find some antacid.
Inflation? WHAT inflation?
We don't buy food; we use the grass cuttings, and bark peeled off trees, to make soup.
As for gasoline prices being inflationary, that is ludicrous: we never buy gasoline; it's FREE! We just buy a new car every month, when the old one runs out...the way the Fed intended.
1. Everyone was buying land & homes for ridiculous price. It did not matter if you could afford them or not. Undeveloped farmland in the middle of nowhere was bringing 8k to 10k per acre ten times what you would normally expect to pay.
2. Everybody, Bankers included believed we were in a state of Nirvana property values would never go down.
3. Homes were being used as every ones on personal ATM. There was no reason to pay down or pay extra there was better thing to the spend money on.
The Housing bubble would have burst even if Gas had been given away for free.
First, the housing crisis began well before 2008. See the details at:
Governor Romney’s Housing Crisis (FR Exclusive)
I think there’s slight truth there but it’s not the main cause of the problem. The problem is the artificial housing bubble that was created (and is currently blowing back up again) to get people into homes they COULDN’T AFFORD.
We can thank the Americans who didn’t do their homework or got greedy as well as the politicians who forced banks to lend money to people who had no business owning a home!
Santorum should have made gas prices a separate issue regarding Obama’s rejection of oil drilling/pipelines in this country.