Bill and Hillary Clinton are responsible for the repeal of Glass-Steagall and the repeal of Glass-Steagall and the Community Reinvestment Act was directly responsible for the Housing Bubble and Sub Prime Mortgage Implosion that took down our economy in the last decade.
The Clintons, especially Hillary (CRA was her baby), and the Democrats wanted to vastly expand the CRA and were pressuring banks with Occupy Wall Street and #BLM style protests and threats of Federal law suits if they did no lend money to people who did not qualify for loans and could not pay them back.\
When pressed, the bankers told the Clintons that they had a legal fiduciary duty to make sure money only was lent to qualified borrowers with proper down payments and were legally prohibited from loaning their banks widows and orphans savings money to dead beats.
They also blamed Glass-Steagall for not allowing them access to other types of investment funds other bank deposits.
So they cut a deal with the Clintons
The Clintons and the Democrats would repeal Glass-Steagall which would allow banks to solicit funds to form investment pools to make CRA loans to probable deadbeats..
In return for the repeal of Glass-Steagall would package the loan portfolio into synthetic securities called derivatives with various tranches representing differing degrees of risk and return.
This allowed the banks to package high risk home finance to deadbeats as AAA securities
This drove the Housing Bubble to astronomical levels and when the bubble crashed along with the sky high inflated home values it put a hurt on the economy that we have yet to recover from - thanks to the irresponsible actions by Barak Obama’s Administration and Hillary and Bill Clinton.
Not sure if Glass-Steagall is a good idea at this point but it is good politics because , after 8 years of Obama, we are facing the potential for the Mother Of All Financial Corrections so redoing Glass-Steagall puts Trump and his political movement out in front of the looming crisis
Fractional Reserve banking is a grift and a con upon the stupid. It is theft and it is embezzlement. This fellow simplifies it enough for Joe Sixpack to get riled:
https://www.youtube.com/watch?v=NeJpQQt_b8c
I believe the requirements of the CRA were originally promulgated by Carter and were not enforced until Clinton.
The Clintons and the Democrats would repeal Glass-Steagall which would allow banks to solicit funds to form investment pools to make CRA loans to probable deadbeats.
Nonsense.
Not only were Graham, Leach and Bliley (the co-sponsors of the bill that repealed Glass-Steagall) Republicans, the Republicans controlled both houses of Congress when it passed.