Did Fanny/Freddy, Federal Reserve, or FDIC cause crisis???

[EdwardBaiamonte]

Interestingly, of all the brainless liberal distortions of the free market it now appears that the FDIC is getting more and more of the blame for the housing and financial meltdown.

It seems a lot of the big banks were able to sell CDs with very high interest rates and thus raise capital for subprime mortgages. Indy Mac, Wa MU, Countrywide, and Golden West were among them.

Those who bought the CD's only cared about the high interest rates and, thanks to the FDIC, did not care what the banks did with their money!

If there had been no FDIC people would have cared and there would have been no crisis.

 

[Mac1958]

.

In no particular order:

• Undisciplined, unintelligent consumers making bad decisions
• A culture celebrating conspicuous consumption
• Politicians pushing for "fairness" without considering the predictable ramifications
• Poor decisions by Fanny/Freddie
• A deep and wide culture of greed in the financial industry
• Abject regulatory failure at every turn
• Abject bond rating industry failure
• Repeal of Glass Steagall predictably leading to massive conflicts of interest
• Extended cheap money status

Off the top of my head.

Decades in the making, plenty of blame to go around, regardless of what the partisan ideologues say.

.

 

[EdwardBaiamonte]

.

In no particular order:

• Undisciplined, unintelligent consumers making bad decisions
• A culture celebrating conspicuous consumption
• Politicians pushing for "fairness" without considering the predictable ramifications
• Poor decisions by Fanny/Freddie
• A deep and wide culture of greed in the financial industry
• Abject regulatory failure at every turn
• Abject bond rating industry failure
• Repeal of Glass Steagall predictably leading to massive conflicts of interest
• Extended cheap money status

Off the top of my head.

Decades in the making, plenty of blame to go around, regardless of what the partisan ideologues say.

.

its a cop out to say everybody is too blame when OP asks you if you agree that FDIC is to blame most and when we need to know what to
fix first.

 

[Mac1958]

.

In no particular order:

• Undisciplined, unintelligent consumers making bad decisions
• A culture celebrating conspicuous consumption
• Politicians pushing for "fairness" without considering the predictable ramifications
• Poor decisions by Fanny/Freddie
• A deep and wide culture of greed in the financial industry
• Abject regulatory failure at every turn
• Abject bond rating industry failure
• Repeal of Glass Steagall predictably leading to massive conflicts of interest
• Extended cheap money status

Off the top of my head.

Decades in the making, plenty of blame to go around, regardless of what the partisan ideologues say.

.

its a cop out to say everybody is too blame when OP asks you if you agree that FDIC is to blame most and when we need to know what to
fix first.

Ah, if only life were so simple.

If you want to single out one party as "most" responsible for the most complicated financial meltdown in history, great. I'm in the industry, and I know it's a touch more complicated than that. And I don't even think a person needs to be in the industry to realize that.

.

 

[EdwardBaiamonte]

.

In no particular order:

• Undisciplined, unintelligent consumers making bad decisions
• A culture celebrating conspicuous consumption
• Politicians pushing for "fairness" without considering the predictable ramifications
• Poor decisions by Fanny/Freddie
• A deep and wide culture of greed in the financial industry
• Abject regulatory failure at every turn
• Abject bond rating industry failure
• Repeal of Glass Steagall predictably leading to massive conflicts of interest
• Extended cheap money status

Off the top of my head.

Decades in the making, plenty of blame to go around, regardless of what the partisan ideologues say.

.

its a cop out to say everybody is too blame when OP asks you if you agree that FDIC is to blame most and when we need to know what to
fix first.

Ah, if only life were so simple.

If you want to single out one party as "most" responsible for the most complicated financial meltdown in history, great. I'm in the industry, and I know it's a touch more complicated than that. And I don't even think a person needs to be in the industry to realize that.

.

so the FDIC Fanny Fed were not involved at all??????? as a liberal do you lack the IQ to comment on OP??

 

[Mac1958]

its a cop out to say everybody is too blame when OP asks you if you agree that FDIC is to blame most and when we need to know what to
fix first.

Ah, if only life were so simple.

If you want to single out one party as "most" responsible for the most complicated financial meltdown in history, great. I'm in the industry, and I know it's a touch more complicated than that. And I don't even think a person needs to be in the industry to realize that.

.

so the FDIC Fanny Fed were not involved at all??????? as a liberal do you lack the IQ to comment on OP??

Okay, where to begin...

1. Did you not see where I referred to Fannie/Freddie in my post?
2. Did you not see where I referred to regulations in my post?
3. I'd make a lousy liberal.
4. Why do you have to automatically resort to insulting my intelligence, simply because I don't think like you do? Have your communication skills not evolved beyond that yet? How old are you?

You're trying too hard. Grow the fuck up.

.

 

[EdwardBaiamonte]

Ah, if only life were so simple.

If you want to single out one party as "most" responsible for the most complicated financial meltdown in history, great. I'm in the industry, and I know it's a touch more complicated than that. And I don't even think a person needs to be in the industry to realize that.

.

so the FDIC Fanny Fed were not involved at all??????? as a liberal do you lack the IQ to comment on OP??

Okay, where to begin...

1. Did you not see where I referred to Fannie/Freddie in my post?
2. Did you not see where I referred to regulations in my post?
3. I'd make a lousy liberal.
4. Why do you have to automatically resort to insulting my intelligence, simply because I don't think like you do? Have your communication skills not evolved beyond that yet? How old are you?

You're trying too hard. Grow the fuck up.

.

OP was about FDIC??? Sorry!! IF you cant comment on op why bother to comment at all?

 

[Ernie S.]

Interestingly, of all the brainless liberal distortions of the free market it now appears that the FDIC is getting more and more of the blame for the housing and financial meltdown.

It seems a lot of the big banks were able to sell CDs with very high interest rates and thus raise capital for subprime mortgages. Indy Mac, Wa MU, Countrywide, and Golden West were among them.

Those who bought the CD's only cared about the high interest rates and, thanks to the FDIC, did not care what the banks did with their money!

If there had been no FDIC people would have cared and there would have been no crisis.

Whatever caused it, Maxine Waters, Franklin Raines and Barney Franks ensured it would happen.

 

[Mac1958]

so the FDIC Fanny Fed were not involved at all??????? as a liberal do you lack the IQ to comment on OP??

Okay, where to begin...

1. Did you not see where I referred to Fannie/Freddie in my post?
2. Did you not see where I referred to regulations in my post?
3. I'd make a lousy liberal.
4. Why do you have to automatically resort to insulting my intelligence, simply because I don't think like you do? Have your communication skills not evolved beyond that yet? How old are you?

You're trying too hard. Grow the fuck up.

.

OP was about FDIC??? Sorry!! IF you cant comment on op why bother to comment at all?

I'll keep this simple: Read between the lines, just a little bit. My post WAS a comment on your OP.

The OP was a transparent and incredibly simplistic attempt to put the blame on the FDIC, and my point was that there was a wide range of responsible parties, that trying to point the finger in just one direction is folly. I assumed that was clear. If that got by you, there's not much I can do about it.

.

 

[Crackerjaxon]

The federal government assumed the risk from the banks on mortgage loans. So, of course, the banks went crazy making loans.

Of course, the dems insist the federal government had nothing to do with it. It was just those evil Wall Street banksters.

They're morons, you know.

 

[EdwardBaiamonte]

Okay, where to begin...

1. Did you not see where I referred to Fannie/Freddie in my post?
2. Did you not see where I referred to regulations in my post?
3. I'd make a lousy liberal.
4. Why do you have to automatically resort to insulting my intelligence, simply because I don't think like you do? Have your communication skills not evolved beyond that yet? How old are you?

You're trying too hard. Grow the fuck up.

.

OP was about FDIC??? Sorry!! IF you cant comment on op why bother to comment at all?

I'll keep this simple: Read between the lines, just a little bit. My post WAS a comment on your OP.

The OP was a transparent and incredibly simplistic attempt to put the blame on the FDIC, and my point was that there was a wide range of responsible parties, that trying to point the finger in just one direction is folly. I assumed that was clear. If that got by you, there's not much I can do about it.

.

so why don't you think FDIC was most responsible???

 

[boedicca]

its a cop out to say everybody is too blame when OP asks you if you agree that FDIC is to blame most and when we need to know what to
fix first.

Ah, if only life were so simple.

If you want to single out one party as "most" responsible for the most complicated financial meltdown in history, great. I'm in the industry, and I know it's a touch more complicated than that. And I don't even think a person needs to be in the industry to realize that.

.

so the FDIC Fanny Fed were not involved at all??????? as a liberal do you lack the IQ to comment on OP??

Oh. They were.

I highly recommend "Reckless Endangerment" as one of the best analyses of the entire mess.

Fanny's former CEO was a major architect, but there was widespread collusion among the looters in government, banking, and the ecosystem of parasites that feed off of them.

 

[Mac1958]

OP was about FDIC??? Sorry!! IF you cant comment on op why bother to comment at all?

I'll keep this simple: Read between the lines, just a little bit. My post WAS a comment on your OP.

The OP was a transparent and incredibly simplistic attempt to put the blame on the FDIC, and my point was that there was a wide range of responsible parties, that trying to point the finger in just one direction is folly. I assumed that was clear. If that got by you, there's not much I can do about it.

.

so why don't you think FDIC was most responsible???

Because, if I were inclined to point the finger in just one direction (which I am not), I could make a reasonable and legitimate case that any of the following issues were "most" responsible:

• Undisciplined, unintelligent consumers making bad decisions
• A culture celebrating conspicuous consumption
• A deep and wide culture of greed in the financial industry
• Repeal of Glass Steagall predictably leading to massive conflicts of interest
• Extended cheap money status

Also, note that, above the list I wrote, I specifically said "in no particular order" -- I did that because, being neck deep in this every day, I know there is absolutely no way to determine which party was "most" responsible. That's nothing more than conjecture, opinion, a wild guess. A "fix" to the problem, in other words, can't begin in just one place.

.

 

[EdwardBaiamonte]

Because, if I were inclined to point the finger in just one direction (which I am not),

how convenient that all directions are equal!
In truth if we eliminate the FDIC the system would instantly clean itself up!

 

[Mac1958]

Because, if I were inclined to point the finger in just one direction (which I am not),

how convenient that all directions are equal!
In truth if we eliminate the FDIC the system would instantly clean itself up!

I'm really trying here.

Please show me where I said they were "equal". Can you not be honest?

Blame the FDIC if you want. Hang Sheila Bair in effigy if you want.

This problem started long before the FDIC did what it did. It's far, far bigger than that.

Believe what you will.

.

 

[EdwardBaiamonte]

This problem started long before the FDIC did what it did. It's far, far bigger than that.

Believe what you will.

.

time, resources, money, and political capital, are scarce; you have to know where to attack a problem first. I say FDIC while you don't say!