Obama's stimulus will cost more than the entire Iraq war.

[nordlead]

fastyxx said:

TheRealMafoo said:

Bankers should be as easy to predict as what will happen to water if you poor it down a hill. Banks will move towards profit like water finds the lowest point.

If government had not made giving out loans to those that had no business obtaining them profitable, banks would never have done it.

The government paid banks to give loans to people who legally had a right to have them. Why is that the banks fault?

Banks and other corporations never do anything bad for consumers or the greater good in search of profit unless the government "mandates" it?

Wow.  

What planet do you live on?

I'm not a big fan of posting in these threads as people never really change their opinion and they are overheated debates, but I'm going to quick post on this. Anyways...

Way to twist words there. No where did he say that banks only do "bad" for consumers if the government "mandates" it. However, in the US situation the government essentially payed the banks to give out loans to people who couldn't pay them back. Didn't have 20% down to buy a $500k house? No problem, the government will pay the bank to let you have that loan. Did you have poor credit when you applied for the loan? No problem, the government will back you. Did you buy that home with no income? no problem, the government will have a program for you so you don't have to make your payments on time or in full. It goes on and on. When the banks see they can abuse the people with little/no risk of losses they will.

Would the banks have tried taking advantage of some people without the governments help? Sure! Would they have risked millions upon millions of dollars with almost no chance of making it back? NO!

The government helped cause the majority of the mortgage crisis. There is no way you can't blame the government for this problem because they are so inept. Having worked directly with the government I know exactly how inept they are...