“Congress and housing speculators crashed the economy.”
Forcing mortgage companies to lend money to those (ghetto) types who are almost certain to default destroyed the mortgage sector in 2007.
Not all mortgage companies are huge conglomerates. One of my clients in 2007 was a mom-n-pop mortgage company who did business in about a dozen states (so they weren’t THAT small) and they got hit hard. They hung in there for another couple of years and then went belly up.
The stock market in 2008 hung in there too for many months and then crashed hard 2 months before the election and just kept crashing.
*Politicians* helped crash the economy in 2007-08; *manipulators* helped crash the market in 2008. The puppetmasters didn’t bother in 2016 because nobody seriously considered Trump a threat to win; they didn’t bother in 2020 because they had already invented COVID to take care of Trump’s chances.
They just might bother in 2024.
“Forcing mortgage companies to lend money to those (ghetto) types who are almost certain to default destroyed the mortgage sector in 2007.”
That is the fable. The truth is that they fraudulently packaged high risk loans in bundles, sold them as grade A, and gambled against them with derivatives. Bankers greed was the driving force and they were allowed to keep the profits, avoid prosecution, and socialize the losses.
But they love that story of the working poor causing the crash.