Sunday, October 26, 2008
How the Mortgage Crisis Happened
The “American Thinker” has published an excellent history of the mortgage crisis and how it happened, going all the way back to the 1930’s FDR New Deal thinking, then weaving through creation of mortgage-backed securities and expansion of the government sponsored enterprises which eventually became the purchasers of high risk mortgage loans. Both my husband and I worked in the banking and mortgage industries during much of this time and watched it all happen. It is a long read but a lesson on the seeds of socialism, spread over decades and is well worth the time to read it. We should take it as a warning against the furthering of more socialist programs. Here’s the link:What really happened
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Very good article. The cause of the current crisis was too much, not too little government intervention. It cannot be solved by more government intervention, which is why the "bailout" is not working.
ReplyDeleteThis is important info to get out. If Obama wins and enacts all his programs, the economy will do worse and worse. He will continue to blame it on the Republicans and the housing/mortgasge meltdown. It is important the Americans understand now and later that the financial crisis is the result of the liberal Democrat initative of affordable housing for all funded by loans to people who never could have paid them back.
ReplyDeleteHave you heard of a NINJA loan? No incone, no job, no assets - and they lent up to 120% of appraised value. I'm not kidding.
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