0
   

Thank the Dems for the Economic Meltdown......

 
 
Reply Wed 24 Sep, 2008 09:42 pm
Clinton
http://www.humanevents.com/article.php?id=28641
Liberals
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aSKSoiNbnQY0
Congress
http://hotair.com/archives/2008/09/22/whos-to-blame-for-the-financial-crisis-and-why-does-that-matter/
Dems Again
http://www.ibdeditorials.com/IBDArticles.aspx?id=306632135350949
Last But Not Least (drumroll please) Jimmy Carter
http://newsbusters.org/blogs/noel-sheppard/2008/09/20/ibd-carter-more-blame-financial-crisis-bush-or-mccain

And now the dumb **** Pelosi and her whores are holding up the bailout package that will lessen the impact of the mess they are responsible for. Un fk believable!

I'm not giving the street a pass on this either. The old saying holds true..........The bulls make money, the bears make money and the pigs go broke. Well most of the pigs are broke now. But had it not been for the dems they would not have had the opportunity to go broke.

So let the blame fly.......... The facts cannot be refuted.
 
cicerone imposter
 
  1  
Reply Wed 24 Sep, 2008 10:05 pm
@Primotivo,
From Political Intelligence:
Quote:
John McCain unveiled a new TV ad this afternoon that tries to paint Democratic rival Barack Obama as so inexperienced on the economy that he has to listen to shady characters.

"Obama has no background in economics," the announcer says.

"Who advises him? The Post says it's Franklin Raines, for 'advice on mortgage and housing policy,' " the announcer says, citing a Washington Post report this week.

"Shocking. Under Raines, Fannie Mae committed 'extensive financial fraud,' " the announcer says, as another newspaper headline appears on screen. "Raines made millions. Fannie Mae collapsed."

Raines, the head of Fannie Mae from 1998 to 2004, agreed in April to pay nearly $25 million in a settlement with the government in an accounting scandal.

"Taxpayers? Stuck with the bill," the announcer continues, as an image of an elderly woman appears. "Barack Obama, bad advice, bad instincts. Not ready to lead."

UPDATE: Obama's campaign just issued a response, including a denial from Raines.

"I am not an adviser to Barack Obama, nor have I provided his campaign with advice on housing or economic matters," Raines said in a statement.

"This is another flat-out lie from a dishonorable campaign that is increasingly incapable of telling the truth. Frank Raines has never advised Senator Obama about anything -- ever. And by the way, someone whose campaign manager and top advisor worked and lobbied for Fannie Mae and Freddie Mac shouldn't be throwing stones from his seven glass houses," said Obama spokesman Bill Burton.

In the tug-of-war this week over who can best respond to the Wall Street crisis, McCain has cited his proposal two years ago to rein in the quasi-public mortgage giants Freddie Mac and Fannie Mae, and criticized Obama for his ties to them and his inaction.

"He took more money from Fannie and Freddie than any Senator but the Democratic chairman of the committee that regulates them," McCain said today in Iowa. "He put Fannie Mae's CEO who helped create this disaster in charge of finding his Vice President. Fannie's former General Counsel is a senior advisor to his campaign. Whose side do you think he is on? When I pushed legislation to reform Fannie Mae and Freddie Mac, Senator Obama was silent. He didn't lift a hand to avert this crisis. While the leaders of Fannie and Freddie were lining the pockets of his campaign, they were sowing the seeds of the financial crisis we see today and enriching themselves with millions of dollars in payments. That's not change, that's what's broken in Washington."


Also, McCain's chief adviser took money from Freddie Mac until last month. Here: [quote]
September 23, 2008
Categories: McCain
Rick Davis lobbying firm took Freddie Mac money through last month

Apparently, the Times still has "Davis envy," as McCain's chief called it earlier this week when another Times story prompted him to deny he had any ties to mortgage giant.

Jackie Calmes and David Kirkpatrick:

WASHINGTON-- One of the giant mortgage companies at the heart of the credit crisis paid $15,000 a month to a firm owned by Senator John McCain’s campaign manager from the end of 2005 through last month, according to two people with direct knowledge of the arrangement. The disclosure contradicts a statement Sunday night by Mr. McCain that the campaign manager, Rick Davis, had no involvement with the company for the last several years. Mr. Davis’s firm received the payments from the company, Freddie Mac, until it was taken over by the government this month along with Fannie Mae, the other big mortgage lender whose deteriorating finances helped precipitate the cascading problems on Wall Street, the people said.

They said they did not recall Mr. Davis doing much substantive work for the company in return for the money, other than speak to a political action committee composed of high-ranking employees in October 2006 on the coming midterm congressional elections. They said Mr. Davis’s his firm, Davis & Manafort, was kept on the payroll because of Mr. Davis’s close ties to Mr. McCain, the Republican presidential nominee, who was widely expected by 2006 to run again for the White House.

Mr. Davis took a leave from Davis & Manafort for the duration of the campaign, but as a partner and equity-holder continues to share in its profits.
[/quote]
0 Replies
 
cicerone imposter
 
  3  
Reply Wed 24 Sep, 2008 10:11 pm
@Primotivo,
Also, conservatives have a habit of blaming past democratic presidents for all the current crisis - even after two terms under Bush. Why not blame Thomas Jefferson? He was a democrat too!
Mame
 
  3  
Reply Thu 25 Sep, 2008 12:08 am
@Primotivo,
Primotivo wrote:


And now the dumb **** Pelosi and her whores are holding up the bailout package that will lessen the impact of the mess they are responsible for. Un fk believable!


Has anyone ever told you that you're a PIG? Well, you are.
0 Replies
 
CoastalRat
 
  2  
Reply Thu 25 Sep, 2008 05:30 am
@cicerone imposter,
Quote:
Why not blame Thomas Jefferson? He was a democrat too!


Not to get too picky, but Jefferson was not a democrat. He was a democratic republican. (Don't mind me. Just trying to be historically accurate.) Cool
Gargamel
 
  2  
Reply Thu 25 Sep, 2008 08:27 am
@Primotivo,
Primotivo wrote:

Clinton
http://www.humanevents.com/article.php?id=28641
Liberals
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aSKSoiNbnQY0
Congress
http://hotair.com/archives/2008/09/22/whos-to-blame-for-the-financial-crisis-and-why-does-that-matter/
Dems Again
http://www.ibdeditorials.com/IBDArticles.aspx?id=306632135350949
Last But Not Least (drumroll please) Jimmy Carter
http://newsbusters.org/blogs/noel-sheppard/2008/09/20/ibd-carter-more-blame-financial-crisis-bush-or-mccain

And now the dumb **** Pelosi and her whores are holding up the bailout package that will lessen the impact of the mess they are responsible for. Un fk believable!

I'm not giving the street a pass on this either. The old saying holds true..........The bulls make money, the bears make money and the pigs go broke. Well most of the pigs are broke now. But had it not been for the dems they would not have had the opportunity to go broke.

So let the blame fly.......... The facts cannot be refuted.



Hey look everybody! They've finally taught Koko to type.

http://www.koko.org/images/KokoPixNew/080915_IMG_5072_n_mat_T.jpg
0 Replies
 
gungasnake
 
  0  
Reply Thu 25 Sep, 2008 08:51 am
This one is not overly complicated. As Chris Plant on WMAL put it this morning, it arises from trying to make economic policies subservient to social policies or "trying to wrap economics in sociology" which is a polite way of saying that demoKKKrat racial/racist policies have fucked the country.

In fact if a rape is brutal enough the rape victim sometimes dies and that's what this one is about; they've basically killed all of our financial institutions which handle mortgages and now they want our permission to simply print $700,000,000,000 dollars to try to "fix" the situation, i.e. a classic case of BOHICA.

The same thing which has happened to mortgage lending entities has happened to the car business as well. Every sort of bank and the car loan arms of the manufacturers have all been being forced to lend to people who would have never gotten car loans 30 years ago and when these cars all get trashed, repo-ed, and then sold at auctions for 4K - 10K losses, that gets tacked onto the price of every other car they sell and THAT is why none of us can afford new cars any more. I would likely come as a hell of a shock to a lot of younger people to learn that middle class people used to buy new cars every three years in the 1950s.

Ann Coulter's take on the thing is entirely similar:

http://anncoulter.com/

Quote:

....In Bush's first year in office, the White House chief economist, N. Gregory Mankiw, warned that the government's "implicit subsidy" of Fannie Mae and Freddie Mac, combined with loans to unqualified borrowers, was creating a huge risk for the entire financial system.

Rep. Barney Frank denounced Mankiw, saying he had no "concern about housing." How dare you oppose suicidal loans to people who can't repay them! The New York Times reported that Fannie Mae and Freddie Mac were "under heavy assault by the Republicans," but these entities still had "important political allies" in the Democrats.

Now, at a cost of hundreds of billions of dollars, middle-class taxpayers are going to be forced to bail out the Democrats' two most important constituent groups: rich Wall Street bankers and welfare recipients.

Political correctness had already ruined education, sports, science and entertainment. But it took a Democratic president with a Democratic congress for political correctness to wreck the financial industry. ....
0 Replies
 
gungasnake
 
  1  
Reply Thu 25 Sep, 2008 08:55 am
What was it Thomas Jefferson said... The middle class is the only true support of the state; the poor have no stake in anything and the rich are ever ready to leave and take their assets with them at the drop of a hat. This is what we see with the demoKKKrat party today, basically supported by the rich and the poor. No middle class person has any sort of a real stake in the demoKKKrat party.
0 Replies
 
gungasnake
 
  1  
Reply Thu 25 Sep, 2008 08:56 am
Quote:
Tags: politics, doughy pantload, dickwipe


Somebody is abusing the topic-tag feature of the new board here.
0 Replies
 
cicerone imposter
 
  1  
Reply Thu 25 Sep, 2008 09:47 am
@CoastalRat,
Yea, a democratic-republican; a good description of our politics of today and an oxymoron. Trying to be too precise about politics gets more confusing and less clarity. For example, Bush is a republican? LOL

CR, Thanks for your historic accuracy. The only problem is I'm not sure how to interpret it.
0 Replies
 
dyslexia
 
  1  
Reply Thu 25 Sep, 2008 10:14 am
@Primotivo,
what a pig!
0 Replies
 
revel
 
  1  
Reply Thu 25 Sep, 2008 10:32 am
@Primotivo,
The republicans were in control of congress by large enough margins to be able move legislation if enough republicans wanted to. They were very good at spinning anything because Bush and by extension republicans in congress were still riding high on the attack on 9/11so they were able to get their way (for instance the tax cut bill; the energy bill and partial birth abortion bill. They must not have wanted to pass the bill very much however much they might like to pretend to now.

I am curious though, if you guys are harping on democrats holding up the bill to provide oversight and regulation to Fannie Mae, you should be in favor of having oversight and regulation for this bail out bill.

As far as Fanni Mae and Freddie Mac there are just as many or more republican beneficiaries as democrats including John McCain.
0 Replies
 
DontTreadOnMe
 
  1  
Reply Thu 25 Sep, 2008 07:53 pm
@cicerone imposter,
cicerone imposter wrote:

Also, conservatives have a habit of blaming past democratic presidents for all the current crisis - even after two terms under Bush. ...


they have to say that ci...

in the last 40 years, the oval office has been occupied by republicans for all but 12 years.

i mean, you don't expect them to take responsibility for making a hash of the remaining 28 years do ya?? Wink

here's another jefferson quote that republicans never like to speak; "avoid foreign entanglements".

word up t-jeff...
0 Replies
 
revel
 
  2  
Reply Sun 28 Sep, 2008 06:19 am
Quote:
The law was enacted in response to both intentional redlining and structural barriers to credit for low-income communities. CRA applies only to banks and thrifts that are federally insured; it's conceived as a quid pro quo for that privilege, among others. This means the law doesn't apply to independent mortgage companies (or payday lenders, check-cashers, etc.)

The law imposes on the covered depositories an affirmative duty to lend throughout the areas from which they take deposits, including poor neighborhoods. The law has teeth because regulators' ratings of banks' CRA performance become public and inform important decisions, notably merger approvals. Studies by the Federal Reserve and Harvard's Joint Center for Housing Studies, among others, have shown that CRA increased lending and homeownership in poor communities without undermining banks' profitability.

But CRA has always had critics, and they now suggest that the law went too far in encouraging banks to lend in struggling communities. Rhetoric aside, the argument turns on a simple question: In the current mortgage meltdown, did lenders approve bad loans to comply with CRA, or to make money?

The evidence strongly suggests the latter. First, consider timing. CRA was enacted in 1977. The sub-prime lending at the heart of the current crisis exploded a full quarter century later. In the mid-1990s, new CRA regulations and a wave of mergers led to a flurry of CRA activity, but, as noted by the New America Foundation's Ellen Seidman (and by Harvard's Joint Center), that activity "largely came to an end by 2001." In late 2004, the Bush administration announced plans to sharply weaken CRA regulations, pulling small and mid-sized banks out from under the law's toughest standards. Yet sub-prime lending continued, and even intensified -- at the very time when activity under CRA had slowed and the law had weakened.

Second, it is hard to blame CRA for the mortgage meltdown when CRA doesn't even apply to most of the loans that are behind it. As the University of Michigan's Michael Barr points out, half of sub-prime loans came from those mortgage companies beyond the reach of CRA. A further 25 to 30 percent came from bank subsidiaries and affiliates, which come under CRA to varying degrees but not as fully as banks themselves. (With affiliates, banks can choose whether to count the loans.) Perhaps one in four sub-prime loans were made by the institutions fully governed by CRA.

Most important, the lenders subject to CRA have engaged in less, not more, of the most dangerous lending. Janet Yellen, president of the San Francisco Federal Reserve, offers the killer statistic: Independent mortgage companies, which are not covered by CRA, made high-priced loans at more than twice the rate of the banks and thrifts. With this in mind, Yellen specifically rejects the "tendency to conflate the current problems in the sub-prime market with CRA-motivated lending.? CRA, Yellen says, "has increased the volume of responsible lending to low- and moderate-income households."

Yellen is hardly alone in concluding that the real problems came from the institutions beyond the reach of CRA. One of the only regulators who long ago saw the current crisis coming was the late Ned Gramlich, a former Fed governor. While Alan Greenspan was cheering the sub-prime boom, Gramlich warned of its risks and unsuccessfully pushed for greater supervision of bank affiliates. But Gramlich praised CRA, saying last year, "banks have made many low- and moderate-income mortgages to fulfill their CRA obligations, they have found default rates pleasantly low, and they generally charge low mortgages rates. Thirty years later, CRA has become very good business."

It's telling that, amid all the recent recriminations, even lenders have not fingered CRA. That's because CRA didn't bring about the reckless lending at the heart of the crisis. Just as sub-prime lending was exploding, CRA was losing force and relevance. And the worst offenders, the independent mortgage companies, were never subject to CRA -- or any federal regulator. Law didn't make them lend. The profit motive did.

And that is not political correctness. It is correctness.


http://www.prospect.org/cs/articles?article=did_liberals_cause_the_subprime_crisis

cicerone imposter
 
  1  
Reply Sun 28 Sep, 2008 12:01 pm
@revel,
Answered by one word; "greed."
0 Replies
 
revel
 
  1  
Reply Sun 28 Sep, 2008 02:23 pm
I was reading an article in newsweek and apparently this meltdown has more to do with a process called "swap" credit lenders use to free up capitol .

Quote:
Holed up for most of the weekend in a conference room at the pink, Spanish-style resort, the JPMorgan bankers were trying to get their heads around a question as old as banking itself: how do you mitigate your risk when you loan money to someone? By the mid-'90s, JPMorgan's books were loaded with tens of billions of dollars in loans to corporations and foreign governments, and by federal law it had to keep huge amounts of capital in reserve in case any of them went bad. But what if JPMorgan could create a device that would protect it if those loans defaulted, and free up that capital?

What the bankers hit on was a sort of insurance policy: a third party would assume the risk of the debt going sour, and in exchange would receive regular payments from the bank, similar to insurance premiums. JPMorgan would then get to remove the risk from its books and free up the reserves. The scheme was called a "credit default swap," and it was a twist on something bankers had been doing for a while to hedge against fluctuations in interest rates and commodity prices. While the concept had been floating around the markets for a couple of years, JPMorgan was the first bank to make a big bet on credit default swaps. It built up a "swaps" desk in the mid-'90s and hired young math and science grads from schools like MIT and Cambridge to create a market for the complex instruments. Within a few years, the credit default swap (CDS) became the hot financial instrument, the safest way to parse out risk while maintaining a steady return. "I've known people who worked on the Manhattan Project," says Mark Brickell, who at the time was a 40-year-old managing director at JPMorgan. "And for those of us on that trip, there was the same kind of feeling of being present at the creation of something incredibly important."

Like Robert Oppenheimer and his team of nuclear physicists in the 1940s, Brickell and his JPMorgan colleagues didn't realize they were creating a monster. Today, the economy is teetering and Wall Street is in ruins, thanks in no small part to the beast they unleashed 14 years ago. The country's biggest insurance company, AIG, had to be bailed out by American taxpayers after it defaulted on $14 billion worth of credit default swaps it had made to investment banks, insurance companies and scores of other entities. So much of what's gone wrong with the financial system in the past year can be traced back to credit default swaps, which ballooned into a $62 trillion market before ratcheting down to $55 trillion last week"nearly four times the value of all stocks traded on the New York Stock Exchange. There's a reason Warren Buffett called these instruments "financial weapons of mass destruction." Since credit default swaps are privately negotiated contracts between two parties and aren't regulated by the government, there's no central reporting mechanism to determine their value. That has clouded up the markets with billions of dollars' worth of opaque "dark matter," as some economists like to say. Like rogue nukes, they've proliferated around the world and now lie hiding, waiting to blow up the balance sheets of countless other financial institutions


http://www.newsweek.com/id/161199
cicerone imposter
 
  1  
Reply Sun 28 Sep, 2008 02:32 pm
@revel,
The real questions are two-fold: 1) what's the true value of these mortgages, and 2) how long will it be before we know the true value?

Investors and those money managers gambled for greed without knowing the end-game and lost. They now want taxpayers to bail them out.

Wrong decision after wrong decisions will only make things worse, not better.
0 Replies
 
 

Related Topics

Obama '08? - Discussion by sozobe
Let's get rid of the Electoral College - Discussion by Robert Gentel
McCain's VP: - Discussion by Cycloptichorn
Food Stamp Turkeys - Discussion by H2O MAN
The 2008 Democrat Convention - Discussion by Lash
McCain is blowing his election chances. - Discussion by McGentrix
Snowdon is a dummy - Discussion by cicerone imposter
TEA PARTY TO AMERICA: NOW WHAT?! - Discussion by farmerman
 
  1. Forums
  2. » Thank the Dems for the Economic Meltdown......
Copyright © 2024 MadLab, LLC :: Terms of Service :: Privacy Policy :: Page generated in 0.09 seconds on 02/21/2024 at 11:00:15