TheRealMafoo said:
I don't mind the dig at the economy, i just wish he better understood the problem. The issue started with Carter, and then was really put into motion with sub prime lending by the Clinton Administration. All of what is in washington over the last 16 year is crap. But to single out one party is a little naive. Honestly, the real blame is on the people of the US. We just don't care who we elect anymore. |
No, subprime lending accelerated greatly under the Bush admin, and THIS is the period in which housing prices got red-hot as a result. It was unsustainable and the bundling of the mortgages into "safe" investment vehicles, the lack of oversight thereof, and the fact that the administration allowed massive capital leveraging -- more than historical norms, if I recall -- led to the credit crises.
Further, the housing acts that encouraged lending to poorer people only applied to the big banks, while most of the subprime loans given during the 2000's were given by independent companies NOT prodded to do so by a government program. The companies offered them because of the huge investment market for mortgage-backed securities.
Some seeds were sown earlier, yes, but we can see when the bloom happened. It could have been nixed with better oversight, though. Would Democrats have done better? Don't know for sure. But one party does tend to talk more of oversight, and one of the magic of the market. We see where magic got us.
Hey SNES boy: bump.
