Barack Obama: “The LAST THING We Want to Do Is Raise Taxes During a Recession” (2009

[hellofromwarsaw]

Over 80% of toxic assets were on private lenders and had nothing to do with the gay guy, Fox/Rushbot ......

 

[Steve Hanson]

No actually after a little looking i find it was pretty much all republicans that repealed glass steagall....

The Gramm–Leach–Bliley Act, the repeal of glass steagall, was proposed by three republicans. It passed the house in a bi partisan bill but pretty much every democrat in the senate voted against it.

So it was the repubs.

Ok, now instead of just posting the liberal mantra of repealing the glass steagall act, how did repealing that act releive lenders of responsibility? Come on. show us you have a clue what you are talking about. That was the response I was expecting from you, so obviously you don't.

 

[cbirch2]

You do know they economy was fine until the democrats got control of congress. The market was at record highs.

And why do you result to personal attacks when your bullshit spew get's challenged?

Now im being accused of personal attacks, when ive said the least offensive things out of anyone here. lol ok.

if you want to get into why the banks collapsed sure, lets go.

If republicans hadnt relieved lenders from responsibility when issuing mortgages by allowing the securitization of mortgages banks would have never made predatory sub-prime loans. If republicans had never relaxed limits on bank leverage and neutered the SEC those same banks wouldnt have been able buy/sell giant amounts of bundled sub prime mortgages that inflated the largest real estate bubble in history.

Care to explain how republicans relieved lenders of responsibility? This should be good.

If you dont understand the basics of the securitization of mortgages then you have no understanding of what caused the recession and shouldnt even talk right now. idiot...

Local banks sold mortgages to investment banks, who then bundled them together as collateralized debt obligations and sold them off to investors, who then purchased credit default swap insurance to insure their investments. This system gives banks an incentive to simply maximize the number of loans they issued, so they could create and sell more CDOs. Because in the end all that would happen is they would pay insurance payments for a few years and once housing market tanked and the value of those investments dropped, AIG would cover their losses. Quite different from a normal system in which the bank that issues the loan takes the hit if the borrower defaults. In this system the bank that issues the loan isnt at fault if the borrower defaults at all, they sell the debt obligation to a larger bank, which then spreads the risk around and insures itself against the loss it knows is coming.

I hope that wasnt too complicated for you.

 

[Steve Hanson]

Now im being accused of personal attacks, when ive said the least offensive things out of anyone here. lol ok.

if you want to get into why the banks collapsed sure, lets go.

If republicans hadnt relieved lenders from responsibility when issuing mortgages by allowing the securitization of mortgages banks would have never made predatory sub-prime loans. If republicans had never relaxed limits on bank leverage and neutered the SEC those same banks wouldnt have been able buy/sell giant amounts of bundled sub prime mortgages that inflated the largest real estate bubble in history.

Care to explain how republicans relieved lenders of responsibility? This should be good.

If you dont understand the basics of the securitization of mortgages then you have no understanding of what caused the recession and shouldnt even talk right now. idiot...

Local banks sold mortgages to investment banks, who then bundled them together as collateralized debt obligations and sold them off to investors, who then purchased credit default swap insurance to insure their investments. This system gives banks an incentive to simply maximize the number of loans they issued, so they could create and sell more CDOs. Because in the end all that would happen is they would pay insurance payments for a few years and once housing market tanked and the value of those investments dropped, AIG would cover their losses. Quite different from a normal system in which the bank that issues the loan takes the hit if the borrower defaults.

I hope that wasnt too complicated for you.

OK, now get to the point where any controls were removed. you know the controls you claim the rebublicans took away by the repeal of glass stegall. You know, the question I asked that no lib can answer.

 

[cbirch2]

Care to explain how republicans relieved lenders of responsibility? This should be good.

If you dont understand the basics of the securitization of mortgages then you have no understanding of what caused the recession and shouldnt even talk right now. idiot...

Local banks sold mortgages to investment banks, who then bundled them together as collateralized debt obligations and sold them off to investors, who then purchased credit default swap insurance to insure their investments. This system gives banks an incentive to simply maximize the number of loans they issued, so they could create and sell more CDOs. Because in the end all that would happen is they would pay insurance payments for a few years and once housing market tanked and the value of those investments dropped, AIG would cover their losses. Quite different from a normal system in which the bank that issues the loan takes the hit if the borrower defaults.

I hope that wasnt too complicated for you.

OK, now get to the point where any controls were removed. you know the controls you claim the rebublicans took away by the repeal of glass stegall. You know, the question I asked that no lib can answer.

Are you seriously that fucking stupid? Glass steagall separated commercial banking and investment banking. If glass steagall were still in place the local bank would have never been able to sell the loan to the investment bank and the securitization or mortgages would be impossible.

 

[hellofromwarsaw]

Pub dupes- "Strong and Wrong"= horribly misled- as ALWAYS!! Jeeeze....LOL!

 

[Warrior102]

Now im being accused of personal attacks, when ive said the least offensive things out of anyone here. lol ok.

if you want to get into why the banks collapsed sure, lets go.

If republicans hadnt relieved lenders from responsibility when issuing mortgages by allowing the securitization of mortgages banks would have never made predatory sub-prime loans. If republicans had never relaxed limits on bank leverage and neutered the SEC those same banks wouldnt have been able buy/sell giant amounts of bundled sub prime mortgages that inflated the largest real estate bubble in history.

Care to explain how republicans relieved lenders of responsibility? This should be good.

If you dont understand the basics of the securitization of mortgages then you have no understanding of what caused the recession and shouldnt even talk right now. idiot...

Local banks sold mortgages to investment banks, who then bundled them together as collateralized debt obligations and sold them off to investors, who then purchased credit default swap insurance to insure their investments. This system gives banks an incentive to simply maximize the number of loans they issued, so they could create and sell more CDOs. Because in the end all that would happen is they would pay insurance payments for a few years and once housing market tanked and the value of those investments dropped, AIG would cover their losses. Quite different from a normal system in which the bank that issues the loan takes the hit if the borrower defaults. In this system the bank that issues the loan isnt at fault if the borrower defaults at all, they sell the debt obligation to a larger bank, which then spreads the risk around and insures itself against the loss it knows is coming.

I hope that wasnt too complicated for you.

 

[cbirch2]

lol you have no idea what i said so you think i made it up but i assure you its rock solid.

 

[cbirch2]

Come on come on someone say something remotely smart. Theres a whole bunch of bull shitting here but when we get into technical issues no one has a clue what their talking about.

 

[Steve Hanson]

If you dont understand the basics of the securitization of mortgages then you have no understanding of what caused the recession and shouldnt even talk right now. idiot...

Local banks sold mortgages to investment banks, who then bundled them together as collateralized debt obligations and sold them off to investors, who then purchased credit default swap insurance to insure their investments. This system gives banks an incentive to simply maximize the number of loans they issued, so they could create and sell more CDOs. Because in the end all that would happen is they would pay insurance payments for a few years and once housing market tanked and the value of those investments dropped, AIG would cover their losses. Quite different from a normal system in which the bank that issues the loan takes the hit if the borrower defaults.

I hope that wasnt too complicated for you.

OK, now get to the point where any controls were removed. you know the controls you claim the rebublicans took away by the repeal of glass stegall. You know, the question I asked that no lib can answer.

Are you seriously that fucking stupid? Glass steagall separated commercial banking and investment banking. If glass steagall were still in place the local bank would have never been able to sell the loan to the investment bank and the securitization or mortgages would be impossible.

Not that you answered the question about controls, because you didn't So what? Most of the loans that failed were written before the repeal of Glass Steagall. What controls as two how loans were written were eleiminated? How does selling a loan make it fail?

 

[cbirch2]

OK, now get to the point where any controls were removed. you know the controls you claim the rebublicans took away by the repeal of glass stegall. You know, the question I asked that no lib can answer.

Are you seriously that fucking stupid? Glass steagall separated commercial banking and investment banking. If glass steagall were still in place the local bank would have never been able to sell the loan to the investment bank and the securitization or mortgages would be impossible.

Not that you answered the question about controls, because you didn't So what? Most of the loans that failed were written before the repeal of Glass Steagall. What controls as two how loans were written were eleiminated? How does selling a loan make it fail?

You really dont understand this. Did you ever turn on the news once in 2008? Did you hear the term "Sub Prime Mortgage Crisis" even one time?

The local banks dont take a loss if the borrower defaults. They sell the loans out right to the investment banks. The more loans they sold the more money they got, so they began offering lots of sub prime loans. Thats why they offered so many sub prime mortgages, hence the sub prime mortgage crises.

 

[cbirch2]

And i certainly did answer the question about controls

Glass-steagall prevented comercial banks from selling your loan to investment banks. The ability to do that is the essence of mortgage securitization. That is the giant regulation that glass-steagall repealed.

 

[Steve Hanson]

Are you seriously that fucking stupid? Glass steagall separated commercial banking and investment banking. If glass steagall were still in place the local bank would have never been able to sell the loan to the investment bank and the securitization or mortgages would be impossible.

Not that you answered the question about controls, because you didn't So what? Most of the loans that failed were written before the repeal of Glass Steagall. What controls as two how loans were written were eleiminated? How does selling a loan make it fail?

You really dont understand this. Did you ever turn on the news once in 2008? Did you hear the term "Sub Prime Mortgage Crisis" even one time?

The local banks dont take a loss if the borrower defaults. They sell the loans out right to the investment banks. The more loans they sold the more money they got, so they began offering lots of sub prime loans. Thats why they offered so many sub prime mortgages, hence the sub prime mortgage crises.

Got it. Sub prime loans. You mean those things Clinton got started?

 

[LibocalypseNow]

So now he's all for raising Taxes during a Recession? Man,that's almost as bad as him now being all for raising the Debt Limit. The Hopey Changey sheep must get terrible headaches trying to spin their Hopey Changey One's crazy Flip-Flops. But no amount of spin can save them on this stuff. What a nightmare.

 

[CitizenPained]

What I don't understand is how Republicans can hate welfare and then cry when a Democrat takes away some of their tax return aka money intended to help families.

 

[cbirch2]

HAHA seriously? Come on you can blame clinton but i cant blame bush. Good logic.

yea i do mean the things clinton started. More specifically the things that clinton started that worked fine until republicans completely deregulated them.

 

[cbirch2]

So now he's all for raising Taxes during a Recession? Man,that's almost as bad as him now being all for raising the Debt Limit. The Hopey Changey sheep must get terrible headaches trying to spin their Hopey Changey One's crazy Flip-Flops. But no amount of spin can save them on this stuff. What a nightmare.

Hes always been for raising taxes on the rich.

And please you wanna talk about debt limit flip flops? How many times did republicans vote to raise the debt limit from 2001-2008?

 

[Steve Hanson]

HAHA seriously? Come on you can blame clinton but i cant blame bush. Good logic.

yea i do mean the things clinton started. More specifically the things that clinton started that worked fine until republicans completely deregulated them.

Now getting back to Bush repealing Glass Steagall, how did he do that when Clinton was president?

 

[LibocalypseNow]

So now he's all for raising Taxes during a Recession? Man,that's almost as bad as him now being all for raising the Debt Limit. The Hopey Changey sheep must get terrible headaches trying to spin their Hopey Changey One's crazy Flip-Flops. But no amount of spin can save them on this stuff. What a nightmare.

Hes always been for raising taxes on the rich.

And please you wanna talk about debt limit flip flops? How many times did republicans vote to raise the debt limit from 2001-2008?

You got your headache yet. Your spin on your Hopey Changey One's Flip-Flops must be making you dizzy no? Take two aspirin and call us on Election Day 2012.

 

[cbirch2]

Aw come on wheres warrior. I miss him. Can someone else please fill the role of jester/troll that has no real intelligence?