The Real Culprits In This Meltdown - IBD traces financial back to Clinton era policies

Investor's Business Daily ^ | Monday, September 15, 2008 4:20 PM PT | INVESTOR'S BUSINESS DAILY

[kevinm13]

Big Government: Barack Obama and Democrats blame the historic financial turmoil on the market. But if it's dysfunctional, Democrats during the Clinton years are a prime reason for it.

Obama in a statement yesterday blamed the shocking new round of subprime-related bankruptcies on the free-market system, and specifically the "trickle-down" economics of the Bush administration, which he tried to gig opponent John McCain for wanting to extend.

But it was the Clinton administration, obsessed with multiculturalism, that dictated where mortgage lenders could lend, and originally helped create the market for the high-risk subprime loans now infecting like a retrovirus the balance sheets of many of Wall Street's most revered institutions.....

...... The untold story in this whole national crisis is that President Clinton put on steroids the Community Redevelopment Act, a well-intended Carter-era law designed to encourage minority homeownership. And in so doing, he helped create the market for the risky subprime loans that he and Democrats now decry as not only greedy but "predatory."

.....

Market failure? Hardly. Once again, this crisis has government's fingerprints all over it.

[VRWCmember]

What about all those millions of bad subprime loans that originated in 2002-November 2006 when the republicans controled the House and Senate???

You do understand the difference between a slight majority in the house and senate and actually being able to force legislation through, right? A republican minority in 1993 was able to prevent clinton and a "democrat-controlled" congress from passing hillarycare. The democrat minority in 2003 was able to prevent W and the GOP congress from implementing the regulatory reforms that could have prevented today's fiasco.

[subterfuge]

If we did not carry water for the republicans in those years we would not have democrates now in charge. Republicans need to be called out on the carpet when they are wrong.

What is it with you liberals that you can't stay on topic? The article is about Clinton, yet you liberals want to cry about bashing him, while you do the same to President Bush. Just make sure you include yourself when you say "we" carried water for pubbies, and leave the rest of us out of it. Thanks.

[subterfuge]

See post 11.

No apologies necessary.

[zek157]

Here’s another good quote from that 2003 NY Times article that backs up your point:

Representative Melvin L. Watt, Democrat of North Carolina, agreed.

‘’I don’t see much other than a shell game going on here, moving something from one agency to another and in the process weakening the bargaining power of poorer families and their ability to get affordable housing,’’ Mr. Watt said.

[am452]

I was refering to the bad subprime loans-not any bad management by Freddie/fannie.

Liberal?? LMAO. I’m old school paleo conservative.

Again, way too many conservatives did not hold the republicans accountable from 2001 to 2006. That is why we have the biggest gov’t we have ever had, Medicare part D etc.

[capydick]

I’ve been hearing Plugs - Menendez - Stretch and the rest of the RAT’s bash President Bush and McCain regarding the current situation. Our side needs to get out in front of this NOW before perception becomes reality.

[Matchett-PI]

bttt

[Lead Moderator]

Couldn’t agree more. Moved to editorial. Thanks for the tip.

[fatez]

Stop bashing Clinton on this. George Bush and the republican dominated congress had eight and six years respectively TO RECTIFY THESE POLICIES.

We should bash the Clintons on this. They created it. Gorelick and other Clintonites profited heavily from it. I do hold Bush and the Republicans responsible for not fixing it; but I will bash the Democrats on it, especially since they are now blaming McCain for it...

[Liz]

Many of the laws requiring government oversight of the market written after the last great market crash-----in 1929---- were eliminated during the Clinton administration---one of many ignorant moves by the self-absorbed liberal Clintons.

Quota-pimp Clinton made stupid PC appointments----he put know-nothing Franklin Raines into Fannie Mae where the crook proceeded to loot the agency while fraudulently cooking the books. (Wonder what Clinton's cut was?)

Thanks to sap-happy Clinton, 2008 markets are devastated, and multi-billion dollar bailouts will crush the backs of working class taxpayers.

[Grampa Dave]

Lets make it even more simple. Never invest in any corporation controlled by liberals.

McClatchy, Lehmann Brothers,Freddie Mac and Fanny Mae are real life models of what happens when liberals are in charge of corporations:

Please wise and conservative, never invest your hard earned savings into stock of corporations controlled by liberals.

[Grampa Dave]

Lets make it even more simple. Never invest in any corporation controlled by liberals.

McClatchy, Lehmann Brothers,Freddie Mac and Fanny Mae are real life models of what happens when liberals are in charge of corporations:

Please wise and conservative, never invest your hard earned savings into stock of corporations controlled by liberals.

[Grampa Dave]

Lets make it even more simple. Never invest in any corporation controlled by liberals.

McClatchy, Lehmann Brothers,Freddie Mac and Fanny Mae are real life models of what happens when liberals are in charge of corporations:

Please wise and conservative, never invest your hard earned savings into stock of corporations controlled by liberals.

[oust the louse]

ATTN: Republican Senators and Congressman...the Democrats blocked the overhaul of this program in 2003.

I REPEAT: the Democrats blocked the overhaul of this program in 2003.

I REPEAT: the Democrats blocked the overhaul of this program in 2003.

I REPEAT: the Democrats blocked the overhaul of this program in 2003.

Get you lazy azzes out in front of talking heads right now and SHOUT this for the next 6 weeks!

[Ciexyz]

Let me get this straight. Until a bad situation goes totally belly up, nothing can be done about it because....

[bmwcyle]

Great Post, this is the post of the week.

[Justa]

The Democrats and RINOs have controlled congress since ‘96. Bush’s mistake was to accomodate them.