Dad2three
Gold Member
Few would dispute the fact that when Fannie Mae collapsed it brought down the entire economic system worldwide. Who was in charge of Fannie Mae at the time? The powerful chairman of the House Banking committee had oversight responsibility for Fannie Mae and he told Americans that "Fannie was doing fine" when it was on the verge of collapse. Strangely enough the entity we have come to know as the "justice dept" has never asked Rep. Barney Frank the important questions and there is yet to be a Congressional hearing on the Fannie Mae collapse.
I'll wait patiently for your response to your right wing crap on F/F....
So the Democrats are the tightwads and the Republicans are the big spenders (especially the Tea Party)? Hmm
Meanwhile (back on Earth) the entire push behind the CRA was to increase home ownership among minorities (who more often had lower credit scores). This extra purchasing power at the lower end boosted all real estate into an overvalued bubble. Bush could have done more to slow this down, but all of his critics would have then labeled him a racist. Sound familiar?
CRA had little to do with the Subprime Crisis. Less than 6% of all foreclosures since 2006.
Government has encouraged home ownership for decades; why suddenly in 2002-07 was it so important?
STATEMENT OF ADMINISTRATION POLICY
The Administration strongly believes that the housing GSEs should be focused on their core housing mission, particularly with respect to low-income Americans and first-time homebuyers. Instead, provisions of H.R. 1461 that expand mortgage purchasing authority would lessen the housing GSEs' commitment to low-income homebuyers.
George W. Bush: Statement of Administration Policy: H.R. 1461 - Federal Housing Finance Reform Act of 2005
Yes, he said he was against it because it "would lessen the housing GSEs' commitment to low-income homebuyers".
Q When did the Bush Mortgage Bubble start?
A The general timeframe is it started late 2004.
From Bushs Presidents Working Group on Financial Markets October 2008
The Presidents Working Groups March policy statement acknowledged that turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007.
One president controlled the regulators that not only let banks stop checking income but cheered them on. And as president Bush could enact the very policies that caused the Bush Mortgage Bubble and he did. And his party controlled congress.