Trust me. She has decided to run against the entire political class, including the Obamists and that Ass Clown G.O.P..
I can't say this too many times.....
Best,
Chris
Posted on 09/23/2009 7:07:47 AM PDT by Palin Republic
Former Alaska Gov. Sarah Palin fired a shot at the Federal Reserve in her coming-out speech in Hong Kong today, blaming the central bank for the current crisis and disagreeing with the idea that the Fed should have a greater role in preventing the next crisis. It was an echo of fellow Republican and Texas congressman Ron Paul, who has led the charge in Congress to perform an audit of the Federal Reserve with an eye to eventually eliminating it.
“How can we discuss reform without addressing the government policies at the root of the problems? The root of the collapse? And how can we think that setting up the Fed as the monitor of systemic risk in the financial sector will result in meaningful reform?” she said. “The words ‘fox’ and ‘henhouse’ come to mind. The Fed’s decisions helped create the bubble. Look at the root cause of most asset bubbles, and you’ll see the Fed somewhere in the background.”
More generally, Mrs. Palin took the tack that the financial crisis occurred because government got in the way of free enterprise.
“Lack of government wasn’t the problem, government policies were the problem. The marketplace didn’t fail. It became exactly as common sense would expect it to,” she said. “The government ordered the loosening of lending standards. The Federal Reserve kept interest rates low. The government forced lending institutions to give loans to people who as I say, couldn’t afford them. Speculators spotted new investment vehicles, jumped on board and rating agencies underestimated risks. So many to be blamed on so many different levels, but the fact remains that these people were responding to a market solution created by government policies that ran contrary to common sense,” she said.
(Excerpt) Read more at blogs.wsj.com ...
Pling!
Well we can welcome the change, but her sincerity on this issue is subject to some skepticism. During the campaign she blamed the crisis on “predatory lenders”.
Welcome to FR!!!!! Great post! Thanx!
Nice tagline...mind if I borrow it??
Ron Paul is right about the Fed.
LOL! I liked it too. Pail and Bachmann have more sense then most of the GOP. Paul is right about the Fed.
Helicopter Ben did what he had to to overt the crisis. Greenspan left town in the nick of time. He left an absolute disaster behind. Palin is right, there is a lot of blame to go around, and a good chunk of that lies with government and fed policies. But Helicopter Ben’s aggressive actions save us from a free fall.
Trust me. She has decided to run against the entire political class, including the Obamists and that Ass Clown G.O.P..
I can't say this too many times.....
Best,
Chris
“So many to be blamed on so many different levels, but the fact remains that these people were responding to a market solution created by government policies that ran contrary to common sense,” she said.”
She GETS it.
Not entirely correct. Ratings agencies deliberately understated risks to keep clients happy.
There was much more than government involved with the financial meltdown.
I think that Palin and other conservatives are suspicious of a permanent role for the Fed in “supervising” the economy. We’ve had the Auto Bailout, cash for clunkers, and Porkulus.
What’s next? Strength through Joy?
Her solution of elimation of Cap Gains and the Estate Tax alone would supercharge the economy.
Best,
Chris
Towning the McCain line, possibly?
All he has done is prolong the crisis. If he hadn't intervened we'd be in recovery by now.
Yay! I got my screen saver back! Thanks!!
I’m thrilled about every account of what she said in her speech. It only ended about 8 hours ago, was closed to the press, and already the WSJ has three articles on it.
I don’t think she has to go as far as to call for the end of the Fed—just point out its clear role in the crisis and shame the rest of us into not letting Obama get away with centralizing all financial regulation under it.
Probably a fair amount of predatory borrowers, also.
Really? How does that work? Somebody puts a gun to your head and says "borrow my money or I'll shoot"?
I think what she’s getting at is that government created the environment, through the easing of lending standards, for rating agencies to do what they did. On this I agree with her. That said, your point about predatory lenders is well taken, and points to the continued need for regulation to protect the public.
Best,
Chris
Thank God someone with a sufficiently large megaphone finally said it.
Now watch the libs go wild...
Sarah Palin gets it! And we need to hear more and more of this from her!!!
Predatory lenders who took advantage of poor gvt policy.
Someone will always pop up to take advantage of the gvt’s intervention in the otherwise free market.
Fair enough. She was a good campaigner. Always on message.
Absolutely. This is SO beyond R vs. D right now, who both conspired to create Bailout Nation.
Someone has to step up and tap into the Ron Paul energy and enthusiasm...and I don't trust the feckless GOP to do it.
You're right...if Palin is tacking that way, she shows razor-sharp political instincts.
I think I’m in the odd position of agreeing with all the posters on this one. The Feds set this up by encouraging and even demanding unreasonably loose lending conditions. The banks and capitalists were all too happy to take the money and run.
No. Look, there exists a need for government oversight on Wall Street, for example, and in the banking industry, to protect the public. That’s why we have the SEC, for example.
NINJA vehicles should simply never have been allowed to see the light of day, yet they were. Government, of course, was primarily responsible for their existence. But you can’t argue that lenders didn’t know what they were doing when they let these mortgages loose on the market. They did. Lenders aren’t stupid. You can’t be one of the Freak Brothers and get your mortgage liscence, at least in FL.
All that said, NINJA and other high interest vehicles were creatures of an era in which government policy encouraged home ownership for people who couldn’t afford it. Period. That’s what Palin was getting at. There are simply poeple who took advantage of that time in history because of lax regulatiory standards.
Best,
Chris
You don't recover from a complete collapse of all financial institutions.
Well, they said she should bone up. This is her position now. During the campaign she was constrained to say what the McCain campaign told her to say. Plus a lot of water has flowed under the bridge since. IAC, what she says does sound a lot like Dr. Paul and while I differ with much he says, his criticisms of the Fed are dead on.
The reason she sounded so much like John when she was "scripted" was that her "handlers were helping her" and when or if she veered off the McCain rant mantra, she was spanked (public "leaks" over her wardrobe, children, etc.)
Ron Paul’s economics without the goofiness of Paul himself.
I like it.
Actually I think the SEC was a big part of the problem. Its mere existence gave investors confidence in some pretty exotic securities which I don't believe would have been marketable otherwise. I think Wall Street and the banks can be better policed by the market without any government "oversight". The SEC doesn't really police effectively yet it gives the false impression that it does.
The SEC is the Fox guarding the Hen House.
The only truly predatory lender is the same as a predatory borrower - one who borrows or lends in the sure and certain knowledge that the American Taxpayer will foot the bill
There's no force, no, but the whole thing was dripping with snake oil from start to finish. We were offered pre-quals of almost twice what we could realistically afford--it was pretty darn tempting, except we had already crunched the numbers and knew that was ridiculous.
Look, I'm not completely excusing those who took bad loans. But the idea that mortgage lenders have some God-given right to pry as much money out of you as possible is asinine. Yes, people should not have gotten Option ARMs and all that. But when you don't have reliable people to ask for advice, when you're just starting out--do these suits have some God-given absolute right to wave these great new products in front of your face without ANY indication how they might blow up on you in five years?
The price for liberty in society is that people have to police *themselves* morally. And that includes mortgage companies.
Bump. I’m not a Ron Paul supporter on foreign policy, but he’s really touched a nerve with the Federal Reserve thing. I’m glad someone with a real megaphone like Palin has taken up the cry.
A concise and imho accurate summation of the problem.
NOTE: THe marginaliztion of Sarah Palin continues, with the attempt to isolate her using Alinsky tactics as a fringe element in the Republican Party by equating her with Ron Paul, who has already been isolated using similar tactics--by Republicans.
By equating Ron Paul with the most crackpot of his supporters, the press and the Republican Party have effectively shoved him off to the side, and by the transitive property of political bullsh*t have managed to decry and deny all he has said.
I have been saying this for years, and will again repeat it:
By marginalizing our "extremists", Republicans have shifted the middle of the road to the left. The Left has long made use of their extremists to make the policies and positions of the leftist mainstream seem more reasonable in the public eye, and instead of counterbalancing the Left with their own more "extreme" elements (like those who believe the Federal Government in particular and government in general should be reduced to Constitutionally authorized proportions), the Republican Party has been in an increasing rush to discard the people and positions they espouse long before the onset of negotiations, effectively shifting the 'center' of political discourse to the Left.
It is this lack of resolve and willingness to discard their own which has enabled the socialism which has manifested itself in our nation up to the advent of the current administration, which has, in turn, siezed every asset it can in an effort to deliver the coup de grace to the American way of life.
Now, more than ever, we need to back our own, especially Conservatives, especially our 'extremists' as the media and even some Republicans will seek to label them.
Sarah, continue to speak your mind, speak the truth, and steer clear of Washington insiders. You DO NOT NEED any ‘advisors’ from that element. These are not complicated issues, keep them simple. They only get complicated when insiders attempt to cover for all their lobbyists’ interests. Screw all of them and speak the truth.
Yeah. Bernie Madoff actually wrote one of the SEC regulations, the one he used to rip off his customers. But the Fed is actually the bigger villain in all of this.
No, you find somebody that’s desperate for money and say, I’ll loan it to you at 11% per week. Vigorish payments due every Friday.
And if both parties agree what’s wrong with that? You’re not going to suggest that commercial banks break people’s legs are you?
the picture sums it all up— america needs sarah
Ron Paul is a Republican? In name only. Not that there’s anything “wrong” with that but just pointing out that he isn’t principled enough to run as a third party candidate.
Even a stopped clock is right twice a day.
“Ron Paul is a Republican? In name only.”
Agreed. Ron Paul is much more free market and pro Constitution than most of the Republican Party.
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