“This wreck was caused by do-gooders in D.C., not by the nation’s bankers who ran their industry honestly and faithfully for over two centuries before the CRA. “
I guess you’re entitled to your opinion. I just remember the S&Ls - not exactly honesty and faithfulness from the banking sector there.
“I just remember the S&Ls - not exactly honesty and faithfulness from the banking sector there.”
From http://www.econlib.org/library/Enc/SavingsandLoanCrisis.html
“The bankruptcy of the FSLIC did not occur overnight; the FSLIC was a disaster waiting to happen for many years. Numerous public policies, some dating back to the 1930s, created the disaster. Some policies were well intended but misguided. Others had lost whatever historical justification they might once have had. Yet others were desperate attempts to postpone addressing a rapidly worsening situation. All of these policies, however, greatly compounded the S&L problem and made its eventual resolution more difficult and much more expensive. When disaster finally hit the S&L industry in 1980, the federal government managed it very badly.”
I highly recommend you read the article - it lists the 15 causes of the S&L crisis. Please avoid Wikipedia’s hatchet job.