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I feel better now.

October 1, 2008

The last post was probably my lamest in a while. Please keep ignoring it.

Some interesting stuff in the “What I’ve read lately” in the sidebar. Give it a try.

In the meantme, why don’t you all watch this video “Burning Down the House”.

Please discuss. Some info and BG at Protein Wisdom.

UPDATE: Tigerhawk points to this excellent explanation of the financial crisis. Key point:

Some have tried to blame teaser-rates on the Community Reinvestment Act of 1977, which encouraged lending to minorities and lower income Americans. But that act only applied to commercial banks. A majority of this crisis’s teaser-rate loans were made by unregulated originators not subject to the act. More fundamentally, there is no evidence the present crisis started in 1977. Teaser-rate mortgages first became widespread after Mr. Bush took office in 2001.

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2 Comments leave one →
  1. October 1, 2008 3:34 pm

    To preserve sanity, turn off sound before pressing play.

  2. Toayminator permalink
    October 2, 2008 7:45 pm

    While Tigerhawk’s points are correct, you can still trace the beginnings of all this to the Government’s (Democrats) FORCING banks into making bad risk loans. Once the government-backed / sponsored banks are doing it, the other banks had to jump into the market if they wanted to be able to compete for business. This is, in part, the result of the government meddling in the free market and making part of it free, and part of it RISK-free.

    That said, the banks that jumped into this to compete (or out of greed) certainly didn’t have to. My step father is an executive with U.S. Bank, one of the more stable banks in the country right now. Several years ago, their head honcho sent out a company-wide e-mail declaring that U.S. Bank would NOT get involved with sub-prime mortgages because they were immoral and unethical. Would that we had more business executives- and politicians- with that kind of moral fiber today.

    In closing, here’s a link to video of C-Span clips clearly demonstrating Republican efforts to reform Fannie and Freddie back in 2004, and democrat denunciations of said efforts, calling them racist, unwarranted, etc, and saying there is “nothing wrong” with Freddie and Fannie. Famous Last Words…

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