njlauren
Posts: 1577
Joined: 10/1/2011
Status: offline
|
quote:
ORIGINAL: BitYakin
quote:
ORIGINAL: MrRodgers
quote:
ORIGINAL: BitYakin
quote:
ORIGINAL: Moonhead
quote:
ORIGINAL: truckinslave
quote:
nobody I talk to about politics is interested in Hillary.
I think the names Bush and Clinton are equally politically dead for at least one generation.
Really?
So what harm did Clinton cause comparable to staging an invasion of a foreign nation under false pretences and crashing the global economy? Maybe it's just me, but I don't see lying about getting his cock sucked as being in quite the same league as that stuff.
as for the GLOBAL ECONOMIC COLLAPSE
pretend anything you like everyone knows it was bill Clinton who signed the revamped CRA that directly lead to the economic collapse
as for the whole BJ LIE thing, tell ya what I said at the time, what kind of country bumbkin pres can't keep a BJ secret, I'm glad he doesn't have any IMPORTANT secrets to keep...
Once and for all...the CRA had absolutely nothing whatsoever to do with the economic collapse. CRA mortgages were less than 5% of all MBS loans. Some say as little as 3%.
As I have stated here, a personal friend has been in the mortgage business since long before CRA. Ever since, his mortgage co. has not made a SINGLE CRA loan and never heard from the fed. govt. There is no law behind the CRA except that should one choose to underwrite such loans, the capitalist entitlement of Fannie and Freddie was to buy them up.
First there is no LEGAL requirement to make those loans and as proof, there is no...enforcement mechanism. Get over it. It was the Graham bill that Clinton was convinced to sign that removed Glass-Steagall protections from corrupt investment banking gambling and a corrupt marketplace credit rating of AAA on those MBS's, followed by a further corrupt SEC that gave them a pass.
well you can SAY that all you want, but I lived it, I watched as people who COULD NOT AFFORD houses were given loans who then used some of the money to remodel the house then a couple years later realized they couldn't afford them RESELL them at a bit of a profit, then the NEXT guy who couldn't afford the house bought it and did some remodeling RINSE AND REPEAT for about 10 - 15 years and a 20K house ends up selling for 200K and POP goes the bubble
and every bit of it can be traced back to CRA pushing/encouraging/allowing people who should NEVER have been given loans
during this time period I watch as the price of scrap copper went from .60 to 3.00 a pound (that 500% BTW) to keep up with the DEMAND for copper pipe for plumbing work on these remodel projects. Lead went from the stable price (by stable I mean it was .10 a pound for like 30 years) of .10 a pound to .60 a pound (thats 600% BTW)
My own house which was on the market for 4 years at 16K and NO ONE WANTED, that I bought outright (paid cash for) for 18K, at one point I was offered 200K for
I still live in the area I grew up, where anyone could buy ANY HOUSE ON THE BLOCK for 20K, that price was STABLE for DECADES, at one POINT NO house on the block could be had for less that 150K...
PRETEND these things DID NOT HAPPEN ALL YOU WANT
it was a HYPER INFLATION ECONOMY spured by the CRA
you can say ONCE AND FOR ALL as MANY TIMES AS YOU LIKE but it WILL NOT CHANGE WHAT ACTUALLY HAPPENED
PS. I was also aware of the glass stegal act being repealed, but that had MUCH less of an impact its real impact was AFTER the fact because it allowed them to create MEGA CORPS that were then deemed to BIG TO FAIL and had to be bailed out, but if not for the CRASH it would have been a MOOT POINT
the CRASH came in the HOUSING INDUSTRY, NOT A WALL STREET/BANKING COLLAPSE
You see one microcosm and assume it is the whole, and you watch Fox News and assume it is the truth. Blaming CRA is easy, because of course, that was giving loans to 'those people' in the inner city who shouldn't get them, I have heard how it is fannie mae and freddie mac, and it is a lie, and a simple minded one.
A lot of what you are talking about had nothing to do with CRA, the amount of loans done under that were small. The real problem is that banks were willing to lend money for houses in markets inflated well beyond what they were worth, and people got greedy, and these weren't CRA candidates, these were people who got caught up in the feeding frenzy.
Worse, banks knew that if they wrote mortgages, as crappy as they were, they could sell them in the third market. What the hayseeds in this country don't understand is banks don't hold onto mortgages (at least commercial banks), they originate mortgages and sell them into the third market. Fannie Mae and Freddie Mac do that, but the big buyers before the crash were financial firms, who took mortgages and turned them into derivative packages called CDO's, that were bought and sold by hedge funds. The hedge funds in turn borrowed money to buy these instruments, they typically borrowed 60 bucks for every buck invested, and they loaded up on these CDO's..........so you had run away real estate being driven by both speculative real estate borrowing and to an even larger extent, by mortgages being sliced up into CDO's........
Then, too, these CDO's have another instrument written against them, called a CDS, kind of insurance policy and hundreds of billions of these were written against the CDO's, that would pay out had the CDO's gone south.....
In November, 2007 Goldman Sachs made public they thought CDO's were crap, and triggered a panic. Hedge funds, finding the CDO's becoming worthless, borrowed money from banks, with the CDO's as collateral, to pay off investors, rather than doing what they should have, folded up. Commercial banks had between this later borrowing and earlier money they lended to the hedge funds, close to 150 billion with these clowns, and they were facing deep shit if these hedge funds went under....
And wanna know what made this worse? In 1999 Clinton signed a comprehensive bill that got rid of Glass Steagal, that not only allowed commercial and investment banks to merge (a la JP Morgan Chase and Shittygroup financial), but also allowed commercial banks to make loans to investment banks and the trading housing and hedge funds. Had that not happened, the scope of the crisis would have been a lot less, you wouldn't have the CDO market get that large, you wouldn't have AIG with 180 billion in CDS's owed, you wouldn't have commercial banks teetering, between bad mortgages they couldn't sell off once the shit hit the fan, and 10's of billions of worthless CDO's....
And the real villain was greed, and what you describe is peanuts in the scheme of things. Among other things, the CDO's they created were so comple,x, no one knew how to really value them, they made assumptions of risk and value that were basically pulled from their assholes, and the government let them do it, pure and simple.
I am sure you will tell me it was CRA, that it was the democrats giving money to 'those' people, but it isn't true, I work in the industry, have worked in the financial industry for almost 30 years and with derivatives for a while, and saw this stuff up close and personal.but what do I know, I am not a 'real american' who knows the truth *grrr*
|
RE: Upcoming elections - America's hot button topics - 
Profile
New Messages
No New Messages
Hot Topic w/ New Messages
Hot Topic w/o New Messages
Locked w/ New Messages
Locked w/o New Messages
Post New Thread