Posted on 10/13/2020 3:14:20 AM PDT by karpov
House Financial Services Chair Maxine Waters and Senator Elizabeth Warren have introduced the Federal Reserve Racial and Economic Equity Act. This legislation directs the Federal Reserve to eliminate racial disparities in income, employment, wealth, and access to credit.
Eliminating racial disparities in access to credit is code for forcing banks and other financial institutions to approve loans based on the applicants’ race, instead of based on their income and credit history. Overlooking poor credit history or income below what would normally be required to qualify for a loan results in individuals ending up with ruinous debt. These individuals will end up losing their homes, cars, or businesses because banks disregarded sound lending practices in an effort to show they are meeting race-based requirements.
Forcing banks to make loans based on political considerations damages the economy by misallocating resources. This reduces economic growth and inflicts more pain on lower-income Americans.
The Carter-era Community Reinvestment Act has already shown what happens when the government forces banks to give loans to unqualified borrowers. This law played a significant role in the housing boom and subsequent economic meltdown. The Federal Reserve Racial and Economic Equity Act will be the Community Reinvestment Act on steroids.
This legislation also requires the Fed to shape monetary policy with an eye toward eliminating racial disparities. This adds a third mandate to the Fed’s current “dual mandate” of promoting a stable dollar and full employment.
Federal Reserve Chair Jerome Powell has already publicly committed to using racial disparities as an excuse to continue the Fed’s current policy of perpetual money creation. Since inflation occurs whenever the Fed creates new money, Powell and his supporters want a policy of never-ending inflation.
(Excerpt) Read more at campaignforliberty.org ...
The fed can only motivate and encourage racism...
Divide to conquer and feminist tribalism is their inherent method and toxic culture
this is really simple. Just eliminate the stupid little check boxes next to “Black” “Native American” “Caucasian”
“Hispanic” and really and truly make the credit application color blind. After all credit really should have nothing to do with those artificial pigeon holes.
Easy-Peasy!!
Better question: Does the Creature from Jekyll Island really want to...?
The way we ended up in the subprime crisis was Congress passed what I think was called “the fair housing act.” It forced banks to end their practice of redlining, wherein some neighborhoods would not receive loans because the payback was negative. As it turned out, these districts were largely black owned and operated. Congress incentivized banks to loan to bad credit risks by buying and bundling the loans into something called derivatives. Only a small percentage of these loans went bad, but due to the leverage of the way they were packaged and resold it resulted in the 2008 housing crisis. Now they are doing something similar with a different agency. Madness is doing the same thing and expecting different results. Communism is doing something you know will end badly just to bring down the system. This is communism.
The only racism I see in this society is the racism by dark skinned people against white people which is endorsed and enforced by the government at all levels in our society.
JoMa
What the hell is this all about. Approve loans on Race and not income. What a freakin joke. How did these people ever get into power? That is the dumbest idea i have ever heard of!
Zackly —
instant replay and the banks will abscond with 1/2 of your money above 10k.
no, NO and Ef NO.
The only good Communist is ...
Even worse, after the unqualified “preferred minority” borrowers defaulted, the banks were accused of deceiving them into borrowing the money - the unqualified borrowers were portrayed as victims TWICE.
I agree. As long as we are separated by color, there will separations by color. This gets more and more crazy every year as there are more mixed race people than every before.
The PBS show about finding your roots is a good example. There are lots of people that have considered themselves 100% black but have a considerable amount of white in them. Even Obama, only 50% black but identifies as 100% black. Remove the race labels and stop caring about the melanin levels in skin. Treat people as people based on their behavior any skin shade. Once that happens, things will improve.
Makes you want to start a movement to tell ALL whites to check “black” on every form that asks for race.
There is no objective test for it.
racial disparities in income, employment, wealth, and access to credit does not = ‘racism’
Around 2002 ago during Columbus Day weekend the news was all about prejudice and how to stop it. My-coworker Ahmed, a Somalian, approached me with this huge smile and shaking his head.
“People cannot stop prejudice” he told me. “For example, if I took you to my neighborhood in Mogadishu to meet my family and you went to shake my mother’s hand, she would likely not shake hands. Why? Because she never saw a white man before. It’s normal!”
Haven’t seen Ahmed in years but I always remembered that.
He was not the typical Somali. He was heavy, jolly, loved to eat, would purposely pretend he did not know the meat was pork just so he could eat it. He was laughed at by female Somali coworkers for that. Unlike other Somalis, he typically avoided politics and religion for the most part. I think he was one who really liked American culture and would participate as much as possible without interfering with his religion.
I remember during the Christmas Season he was asking a bit on how I celebrate Christmas and at some point I asked him if he believed in Jesus.
“Of course I do! You can’t be a good Muslim if you don’t believe in Jesus”
I thought that was kind of strange.
Originally he came up to Maine from Colombus, OH. He told me once “You know why so many Somalis come here to Maine from Ohio and Atlanta? It’s because we don’t like Black Americans. We can’t even understand them when they speak!” and he imitated how Black Americans speak. “It’s a lot better here”
Another thing I learned. Many of them came to the US via Europe during the Clinton Admin. Many of them were not our share of refugees accepted by the US. They were Europe’s share. Once they got their European ID they were automatically considered European citizens and that enabled them to travel to the US without needing a VISA.
Knowing the laws in regards to having multiple wives in the US, they only brought one of their wives to the US. The others along with some of their children stayed in Europe.
A Sudanese Christian once told me that they (the Somalis) are known to be claiming some of those still in Europe as dependents on their income tax even though they never even set foot in the States.
Racism cannot be ended by promoting more racism.
It is akin to spending yourself out of debt.
Oh wait...
No, No more than they can end people being born with thumbs. Its in our genes. Only God can cure hate.
No.
And it isn’t their job.
As long as the Federales are not being racist, their work is done.
Equal before the law. Equal opportunity in hiring for Federal jobs.
That’s it. Period.
You cannot litigate morality or ethics. Period.
No
Maxine, Liz, here’s a suggestion: Put your money where your mouth is! Use your wealth to make affordable loans to underqualified minorities. They’ll pay you back, right?
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