A "politically correct" "bipartisan" government report which blames everybody, that is neither bipartisan, nor correct in its conclusions, refusing to actually point out the main culprits and failures of "politically correct" government policies of broad "home ownership society" regardless of desirability, means or ability to afford mortgages.
Typical political commission looking out only for protecting the politicians and their failed policies. Sprinkle a little bit of blame on "everybody" here and there, and they can continue with the failed policies until another crisis, which will also be "fixed" through more "politically correct" laws and regulations of the symptoms, but not the causes of the disease.
So Congress didn’t point the blame finger at itself? Shocked, I tell you! I am shocked! I honestly thought they would take all the blame that they deserve and throw Frank and Dodd out of their chambers.
I agree with that. The problem wasn't the mortgages. The problem was the economy that tanked. Mortgages always take it on the chin in an economic downturn, every time. And banks take it on the chin from mortgages and commercial loans.
The oil price shock which this nation has done little or nothing to prepare for since the first one in the 1970's, had more to do with the crisis than mortgages.
Credit card rate shock was probably next. Banks got greedy and drove their customers into bankruptcy. Both fuel prices and credit card rate increases brought consumer spending to an abrupt halt.;
And the final nail in the coffin of consumer psychology is the way Bush shocked the nation with the demand for TARP. That had the double whammy of directly assaulting consumer psychology and handing the pending election to the rat's, a double blow.
If the economy had been stable, the mortgages would still be being paid.
Nonsense!
The entire fiasco could have been prevented by NO BAILOUTS and NO IMPLICIT PROMISES OF BAILOUTS.
People act irresponsible when they know they will never have to face any consequences.
The 2008 financial crisis was:
Engineered by the big banks to get their Kenyan Kommie elected, so that he would roll over as they continued to plunder the taxpayers.
I watched the bubble develop in California. Ground zero for the subprime lending industry was just down the road in Costa Mesa and Irvine. I had neighbors and friends in the business.
These people were writing subprime loans because they made an incredible amount of money writing them. They weren’t covered by the CRA. They didn’t sell their paper to Fannie or Freddie, their paper didn’t conform and investment banks paid them more for it anyway. No one was pressuring them to write this paper. Someone with a high school diploma could pull down $400,000 a year writing loans. And the profits up the line where it was bundled and sold as CDOs and derivatives was even bigger.
I’ll be curious to read this report and the dissents. But don’t kid yourself, there was a lot more involved in the bubble than just some government meddling. The financial industry was mining the subprime market for all its worth.
What a load of crap! And this is the final word? When everybody’s responsible, nobody’s responsible. There are people involved in this mess in and out of government that should spend the rest of their natural lives behind bars. The ONLY people on the commission to endorse the findings were....RATS??? High tech whitewash!