George Kerby
2/10/2013 8:18:00 PM
On 2/10/13 12:35 PM, in article t1qfh8hqpfm9jjp4jkcdbkqp19nus9ao6a@4ax.com,
"Patrick" <pbarker001@woh.rr.com> wrote:
> Mike Smith <mws@wt.net> wrote:
>
>> Now, for a government quiz... Who was in charge of Congress when all
>> three of your mis-statements happened? And why was Congress key to
>> this mess?
>
> Democrats caused the recession and Republicans tried to stop it
> Who caused this economic downturn and what should we do about it?
>
> Almost no one realizes that this entire subprime lending mess was
> created by the Community Reinvestment Act, which was passed by
> President Carter, a Democrat, in 1977. Later on in the 1990s, Bill
> Clinton, another Democrat, passed laws to enforce the original bill.
> The purpose of the CRA is to force banks to make risky loans to people
> who can?t afford to repay those loans.
>
> The extremely left-wing Los Angeles Times explains in 1999 that the
> CRA was passed to force banks to make risky loans.
>
> Under Clinton, bank regulators have breathed the first real life into
> enforcement of the Community Reinvestment Act, a 20-year-old statute
> meant to combat ?redlining? by requiring banks to serve their
> low-income communities. The administration also has sent a clear
> message by stiffening enforcement of the fair housing and fair lending
> laws.
>
> ?
>
> In 1992, Congress mandated that Fannie and Freddie increase their
> purchases of mortgages for low-income and medium-income borrowers.
> Operating under that requirement, Fannie Mae, in particular, has been
> aggressive and creative in stimulating minority gains? Fannie Mae has
> agreed to buy more loans with very low down payments?or with mortgage
> payments that represent an unusually high percentage of a buyer?s
> income. That?s made banks willing to lend to lower-income families
> they once might have rejected.
>
> The extremely left-wing New York Times noted in 1999 that the GSEs
> gave out the risky loans under duress from Democrat Bill Clinton.
>
> Fannie Mae, the nation?s biggest underwriter of home mortgages, has
> been under increasing pressure from the Clinton Administration to
> expand mortgage loans among low and moderate income people and felt
> pressure from stock holders to maintain its phenomenal growth in
> profits.
>
> In addition, banks, thrift institutions and mortgage companies have
> been pressing Fannie Mae to help them make more loans to so-called
> subprime borrowers. These borrowers whose incomes, credit ratings and
> savings are not good enough to qualify for conventional loans, can
> only get loans from finance companies that charge much higher interest
> rates ? anywhere from three to four percentage points higher than
> conventional loans.
>
> According to the New York Times in 2003, George W. Bush tried to stop
> the Democrats from ruining the economy with these forced loans. He was
> blocked by Democrats like Barney Frank.
>
> The Bush administration today recommended the most significant
> regulatory overhaul in the housing finance industry since the savings
> and loan crisis a decade ago.
>
> ?
>
> ?These two entities ? Fannie Mae and Freddie Mac ? are not facing any
> kind of financial crisis,? said Representative Barney Frank of
> Massachusetts, the ranking Democrat on the Financial Services
> Committee. ?The more people exaggerate these problems, the more
> pressure there is on these companies, the less we will see in terms of
> affordable housing.?
>
> Here are some video clips to prove that the Democrats opposed
> regulating the GSEs. They are responsible for this mess, along with
> the irresponsible people who signed up for these loans that they could
> not repay.
>
> Timeline of the events in the crisis: Bush was the first to recommend
> regulating the GSEs in April, 2001. In 2003, Bush tried to create a
> new federal agency to regulate the GSEs. He was blocked from doing so
> by the Democrats in the Senate, especially by Barney Frank. In 2005,
> Alan Greenspan warned that failing to regulate the GSEs could be a
> catastrophe. Again, Democrats blocked the effort to regulate Fannie
> Mae and Freddie Mac. The video shows Democrat Chuck Schumer protesting
> that regulation is not needed. In 2006, McCain and other Republicans
> introduced a bill to regulate the GSEs. Again, the Democrats voted
> against it and nothing happened.
>
> Republicans and Democrats in their own words on the GSE accounting
> practices: Here we have Republican Rep. Richard Baker, Democrat,
> Democrat Rep. Maxine Waters, Democrat Rep. Gregory Meeks, Republican
> Rep. Ed Royce, Democrat Rep. Lacy Clay, Republican Rep. Christopher
> Shays, Democrat Rep. Arthur Davis, Democrat Rep. Barney Frank,
> Republican Rep. Don Manzullo. Shays notes that the GSEs make many
> contributions to Democrats who are blocking their regulation.
>
> Fannie Mae CEO addresses Democrats: Fannie Mae CEO calling Obama and
> the Dems the ?Family? and ?Conscience? of Fannie Mae. The Democrats
> obstructed the regulation of the GSEs while taking political
> contributions from them, especially Obama. Franklin Raines, Jamie
> Gorelick and Jim Johnson were all executives at the GSEs and are all
> Democrats. Other Democrats like Penny Pritzker ran other mortgage
> banks into the ground, and now work for Obama.
>
> According to Human Events, Obama himself sued banks on behalf of
> ACORN, to force the banks to make these risky loans.
>
> Obama sued Citibank under the Community Reinvestment Act in a typical
> ACORN-style lawsuit to force the bank to make these risky loans. ACORN
> filed many of this type of lawsuit alleging racism in all of them.
>
> According to opensecrets.org, Obama was also the second-highest
> recipient of political contributions from the GSEs. The American
> Spectator notes that he included 5.2 billion dollars of taxpayer money
> for ACORN in the porkulus bill.
>
> UPDATE 1: The Achoress just posted even more of the history of this
> mess here. She has a link to Nice Deb?s post which contains about 2
> dozen warnings issued by the Bush administration about the looming
> crisis, including 17 warnings in 2008 alone.
>
Man, the sheep are going in circles by now!
They are stomping their hooves and bleating loudly to cover the truth.
Someone bring in a German Shepherd, please!