“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.
But they love that story of the working poor causing the crash.
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The story was nonsense, but nonsense Free Republic liked very much because ghetto trash tanking the housing market fits a world view around here.
The new one, produced by Goldman Sachs, is immigrants are jacking up the prices in the real estate market.
So I decided to study historical immigration waves and found no such correlation with the real estate market in the past.