Who's at fault for the 2008 Recession?

[Papageorgio]

On another thread, the 2008 election was brought up. I stated that any Democrat would have won the Presidency because of the Recession under Bush. I was told that the Recession was the fault of the Democrat-let Congress.

Now, I ask....again (because I got a lot of dodging, but no answer)...what Democrat legislation caused the 2008 Recession?

The recession started 4th quarter of 2007. So the legislation must have been passed in the first 9 months of 2007. Legislation that was not filibustered and Bush signed.

The cause of the recession started many years before 2007 and it wasn't just one thing that caused the recession but many issues. With the way we handled the recession, I believe we are just setting the table for the next recession.

 

[Marion Morrison]

On another thread, the 2008 election was brought up. I stated that any Democrat would have won the Presidency because of the Recession under Bush. I was told that the Recession was the fault of the Democrat-let Congress.

Now, I ask....again (because I got a lot of dodging, but no answer)...what Democrat legislation caused the 2008 Recession?

Democrats in Congress couldn’t govern under bush, to busy attacking him

And mortgage brokers were charging big fees. The fees got bigger the riskier the loan was so...hey...why not push thoise. At the end if you had a pulse you got a loan

And mortgage brokers sold off those loans they had just made big commissions on as fast as they could.to banks that actually WANTED sub prime loans

Brokers were actively encouraging applicants to lie on their applications about income and assets. A handful were sent to jail, but none of the big bosses at the banks who pushed these schemes went to jail.

Did you think they would? Congress nor the President did anything to punish the banks, the talked a good game, they feigned outrage and how there should be punishment for the banks, but in the end, we bailed them out and they suffered no real consequences.

And then they acquired more assets. They should have been let fail and split their money between people with accounts.


They made bad decisions to get rich, got rich, then got bailed out and acquired even more assets.

 

[Jitss617]

09 is when I left the democrat party. The liars and destruction of America

 

[Staidhup]

The overturn of GSA, Glass Steagall Act of 1933, was replaced by GLB,Gramm Leach Bliley bill of 1999, signed into law by Clinton. The passage of GLB in effect removed all audit and oversight controls over financial institutions at the same time did not adopt suitable controls in place to prevent speculative risk. The creation of collateralized debt securities, pools, tranches, contained mortgages, auto, boat, plane.... loans, any and all securitized instruments with the same maturity date could be bundled into one securitized package. Financial institutions involved in creation of tranches scrambled to find mortgage loans to meet their needs. Tranches were rated by AIG, Merrill Lynch, and host of others as to grade, nature, and safety of the contents. Regretfully very few traders in these financial instruments were aware of the contents and quality guaranteeing payment at maturity. The game on the street was interest rates, yield, and freeing up capital to lend. Banks, brokerage firms, insurance companies....all scrambled for yield and neglected to do their due diligence. Once individuals started to become concerned with the quality of real estate mortgages being closed some began to dig deep into the contents, it became apparent they were filled with subprime mortgages, and risky loans, garbage. Then institutions became desperate to unload their garbage on their books, the bubble popped and Baby Bush was left holding the bag so to speak.
So who was to blame? First, those responsible on the banking committee that rejected imposing audit and oversight, second, those responsible for rejecting a full audit of FNMA, third, lobbyists, fourth greed! No political party can wash their hands of the this one. As they say, if you live in a glass home it's best not to throw rocks.

 

[francoHFW]

The overturn of GSA, Glass Steagall Act of 1933, was replaced by GLB,Gramm Leach Bliley bill of 1999, signed into law by Clinton. The passage of GLB in effect removed all audit and oversight controls over financial institutions at the same time did not adopt suitable controls in place to prevent speculative risk. The creation of collateralized debt securities, pools, tranches, contained mortgages, auto, boat, plane.... loans, any and all securitized instruments with the same maturity date could be bundled into one securitized package. Financial institutions involved in creation of tranches scrambled to find mortgage loans to meet their needs. Tranches were rated by AIG, Merrill Lynch, and host of others as to grade, nature, and safety of the contents. Regretfully very few traders in these financial instruments were aware of the contents and quality guaranteeing payment at maturity. The game on the street was interest rates, yield, and freeing up capital to lend. Banks, brokerage firms, insurance companies....all scrambled for yield and neglected to do their due diligence. Once individuals started to become concerned with the quality of real estate mortgages being closed some began to dig deep into the contents, it became apparent they were filled with subprime mortgages, and risky loans, garbage. Then institutions became desperate to unload their garbage on their books, the bubble popped and Baby Bush was left holding the bag so to speak.
So who was to blame? First, those responsible on the banking committee that rejected imposing audit and oversight, second, those responsible for rejecting a full audit of FNMA, third, lobbyists, fourth greed! No political party can wash their hands of the this one. As they say, if you live in a glass home it's best not to throw rocks.

The over turning was a GOP bill duhh.... Everyone in the world except dupes know the problem was the usual GOP deregulation and corruption. Happens every time they get 8 years to screw up the economy again....

 

[Papageorgio]

The overturn of GSA, Glass Steagall Act of 1933, was replaced by GLB,Gramm Leach Bliley bill of 1999, signed into law by Clinton. The passage of GLB in effect removed all audit and oversight controls over financial institutions at the same time did not adopt suitable controls in place to prevent speculative risk. The creation of collateralized debt securities, pools, tranches, contained mortgages, auto, boat, plane.... loans, any and all securitized instruments with the same maturity date could be bundled into one securitized package. Financial institutions involved in creation of tranches scrambled to find mortgage loans to meet their needs. Tranches were rated by AIG, Merrill Lynch, and host of others as to grade, nature, and safety of the contents. Regretfully very few traders in these financial instruments were aware of the contents and quality guaranteeing payment at maturity. The game on the street was interest rates, yield, and freeing up capital to lend. Banks, brokerage firms, insurance companies....all scrambled for yield and neglected to do their due diligence. Once individuals started to become concerned with the quality of real estate mortgages being closed some began to dig deep into the contents, it became apparent they were filled with subprime mortgages, and risky loans, garbage. Then institutions became desperate to unload their garbage on their books, the bubble popped and Baby Bush was left holding the bag so to speak.
So who was to blame? First, those responsible on the banking committee that rejected imposing audit and oversight, second, those responsible for rejecting a full audit of FNMA, third, lobbyists, fourth greed! No political party can wash their hands of the this one. As they say, if you live in a glass home it's best not to throw rocks.

The over turning was a GOP bill duhh.... Everyone in the world except dupes know the problem was the usual GOP deregulation and corruption. Happens every time they get 8 years to screw up the economy again....

The problems from 2008 were caused by many factors including bipartisan support in 2000. So spare us your uninformed, lying crap. Can’t believe you are that dumb.

 

[Staidhup]

Well Papa and Franco your so full of crap your blinded to the actual facts of what happened, as well the critical chain of events responsible for building the bubble. In any event apparently your understanding of what a bubble is, as well, how they are formed and developed to critical mass is beyond your comprehension. Go back to your bong and kolaid.

 

[Ray From Cleveland]

In order?

The Fed (without too low interest rates for too long - it never could have started), GWB (and his well-intentioned but moronic low income housing plan), Congress (for passing it - unanimously, I believe), Freddie and Fannie, the banks (for selling goofy mortgages), Wall Street and consumers (who were dumb enough to buy the mortgages with the bizarre terms that they knew they never would be able to pay off).

BTW - as per usual - most people completely underestimate the impact the Federal Reserve has had since 2001.
It amazes me how little perhaps 95% of Americans seem to know about this institution...and just how INCREDIBLY powerful it is.
It is FAR more powerful (economically) then Congress and the POTUS put together. And Wall Street cowers when the Fed Head speaks.
The Fed can buy ANY corporation (if enough shares are available), finance ANY government debt, print ANY amount of money, bail out any/all corporations/banks and it could buy every, available stock in America if it wanted to. And it is a for-profit, privately owned institution.
Other then consumers as a whole - the Fed IS the number one driving force of the economy...has been since 2008.

And yet almost all Americans - and apparently most of you here - have not a clue how much influence/power it has.

Obama did not 'save' the economy. The Fed did. And Trump is not 'powering' the economy...the Fed is.

"GWB's" well-intentioned but moronic low income housing plan". Where on Earth did you get that? Any research on the subject will point you straight to Carter and Bill Clinton in THEIR well-intentioned but moronic Race-based low income home ownership plan.

Bullshit. Here is the Press Release from the White House in 2003 when W started providing grants to low income buyers.

President Bush Signs American Dream Downpayment Act of 2003

And here is what it did:

Federal Home Buyer Grants

We're going to start this topic by explaining the current operating model for federal grants. The federal government does not make housing grants available directly to individuals or families. However, they do make these grants available to states, and certain cities, that are then responsible for distributing the funds to its citizens.


Since home buyer grants are meant to be used towards the purchase of a new home, there are qualifying rules for these funds. Generally, grants will not be given to anyone that cannot qualify for a mortgage.

First Time Home Buyer Grants

 

[Ray From Cleveland]

This has been quite an informational thread. Way more complex than the "Obama did it...but we're not gonna explain why" on the other thread.

He had little to do with it. The point is there were a lot of players in the crash mostly Clinton and Bush. Clinton started it and Bush accelerated it. However the common denominator here is minorities. And this is the problem with vote buying in this country. Before government dragged the banks into their pet projects, we did just fine because the banks had a standard that everybody had to meet be it white, black, brown, red or purple with pink polka dots. If you couldn't meet that standard, you lose.

However minorities complained loudly about being discriminated against when in fact, it had nothing to do with race, it had to do with qualifications. Since minorities would never accept that answer, politicians from both parties began to cater to their complaints. That's where the problem started and continued until the housing disaster.

 

[Papageorgio]

Well Papa and Franco your so full of crap your blinded to the actual facts of what happened, as well the critical chain of events responsible for building the bubble. In any event apparently your understanding of what a bubble is, as well, how they are formed and developed to critical mass is beyond your comprehension. Go back to your bong and kolaid.

At least I’m not on meth, Hup.

 

[Staidhup]

I doubt it! Sorry bud but it’s time to do some research.
As I clearly stated, neither party can wash their hands on this one! Someday lobbyists will be sent packing, until then both parties will be feasting at the table of greed!

 

[Papageorgio]

Lots of blame to go around and tons of mistakes, our politicians did what they had to do to save themselves.

The 2008 Meltdown And Where The Blame Falls

https://www.usnews.com/opinion/mzuc...kerman-who-to-blame-for-the-financial-crisis-

25 People to Blame for the Financial Crisis - TIME

Who Can We Blame For The Great Recession? | Seeking Alpha

The Great Recession Blame Game

Lots of articles and lots of blame, again anyone who believes this was the blame of one party has no clue how the economy works and what effect deregulation by both parties hurt Americans and gave trillions back to banks at the expense of Americans.

 

[Papageorgio]

I doubt it! Sorry bud but it’s time to do some research.
As I clearly stated, neither party can wash their hands on this one! Someday lobbyists will be sent packing, until then both parties will be feasting at the table of greed!

Gee, dumb, dumb I have always maintained both party’s were to blame. Apparently, you haven’t read any other post in this thread from me. Maybe that is why you make retarded comments only a meth head could make, because this whole thread I have claimed the same as you. Learn to follow conversations, and you won’t sound like an idiot.

 

[Wyatt earp]

On another thread, the 2008 election was brought up. I stated that any Democrat would have won the Presidency because of the Recession under Bush. I was told that the Recession was the fault of the Democrat-let Congress.

Now, I ask....again (because I got a lot of dodging, but no answer)...what Democrat legislation caused the 2008 Recession?

We have discussed this topic for years and you want to act like it's a new ******* topic?


Yup liberals are the most retarded on Earth, well who can blame them, they insist they came from monkeys.



.

 

[Dragonlady]

On another thread, the 2008 election was brought up. I stated that any Democrat would have won the Presidency because of the Recession under Bush. I was told that the Recession was the fault of the Democrat-let Congress.

Now, I ask....again (because I got a lot of dodging, but no answer)...what Democrat legislation caused the 2008 Recession?

The Commodities Future Modernization Act of 2000, it was passed with just four dissenting votes and signed by the President helped seal the fate of the nation.

Lots of reasons and lots of blame to spread for the 2008 recession. Neither party can escape blame for the recession.

Actually since republicans controlled everything, they can be blamed.

Clinton, Rubin,

On another thread, the 2008 election was brought up. I stated that any Democrat would have won the Presidency because of the Recession under Bush. I was told that the Recession was the fault of the Democrat-let Congress.

Now, I ask....again (because I got a lot of dodging, but no answer)...what Democrat legislation caused the 2008 Recession?

The Commodities Future Modernization Act of 2000, it was passed with just four dissenting votes and signed by the President helped seal the fate of the nation.

Lots of reasons and lots of blame to spread for the 2008 recession. Neither party can escape blame for the recession.

Actually since republicans controlled everything, they can be blamed.

It was a lame duck Congress and Clinton, Ruben

On another thread, the 2008 election was brought up. I stated that any Democrat would have won the Presidency because of the Recession under Bush. I was told that the Recession was the fault of the Democrat-let Congress.

Now, I ask....again (because I got a lot of dodging, but no answer)...what Democrat legislation caused the 2008 Recession?

The Commodities Future Modernization Act of 2000, it was passed with just four dissenting votes and signed by the President helped seal the fate of the nation.

Lots of reasons and lots of blame to spread for the 2008 recession. Neither party can escape blame for the recession.

Actually since republicans controlled everything, they can be blamed.

The fact is the Clinton Administration was pushing this to be passed before the lame duck Congress convened. Rubin, Summers, Greenspan along with all but four Congressmen wanted it bad.

That isn’t the only reason for the meltdown, tons more and it involves both parties, Wall St.

To claim it was one party over the other party is the reason for the recession, is simplistic, very naive and is just moronic partisan BS.

Things always get called names when it is shown that republican policy is the problem.

You go with that, I find a balanced educated view of the entire problem is much better approach. I find partisan approaches are best if you don't want to think, it is just a blame game and nothing ever gets solved.

REPUBLICANS cut taxes. They were handed a balanced budget and instead going with that, they cut taxes, and ran up a big deficit. When Reagan did the exact same thing, unemployment hit 6% and the stock market experienced its worst crash since 1929, a few years later.

Republicans put the wars on the credit card, and then in the run-up to the 2004 election, W passed Medicare Part D - entirely unfunded, to woo senior voters. Then there was the American Dream Downpayment Act of 2003, which gave low income families grants to help cover closing costs on their first home purchases - another unfunded give-away. This incentive, combined with the lowest interest mortgages in history (in the first two years), this fueled the housing bubble.

Democrats may be the party of "tax and spend" but unlike Republicans, they tax BEFORE they spend. Obamacare had taxes which covered the costs of it, before Republicans started nibbling at the edges of it, trying to undercut it and make it fail.

Republicans seem to forget that economics are a matter of yin and yang. They want to spend like drunken sailors, but they don't want to tax. They want to go to war, but they don't make the rich people, who benefit the most from these foreign incursions, pay for their wars. At least the Romans had the good sense to make the Consuls pay their armies out of their own pockets. That kept the less wealthy ones at home, and sent the rich off to conquer the world.

 

[Ray From Cleveland]

Democrats may be the party of "tax and spend" but unlike Republicans, they tax BEFORE they spend. Obamacare had taxes which covered the costs of it, before Republicans started nibbling at the edges of it, trying to undercut it and make it fail.

I'm sorry, but DumBama's debt was being increased every year; especially the first two years. If his "taxes covered" everything he spent, HTF did we end up 10 trillion dollars further in debt?

 

[Papageorgio]

The Commodities Future Modernization Act of 2000, it was passed with just four dissenting votes and signed by the President helped seal the fate of the nation.

Lots of reasons and lots of blame to spread for the 2008 recession. Neither party can escape blame for the recession.

Actually since republicans controlled everything, they can be blamed.

Clinton, Rubin,

The Commodities Future Modernization Act of 2000, it was passed with just four dissenting votes and signed by the President helped seal the fate of the nation.

Lots of reasons and lots of blame to spread for the 2008 recession. Neither party can escape blame for the recession.

Actually since republicans controlled everything, they can be blamed.

It was a lame duck Congress and Clinton, Ruben

The Commodities Future Modernization Act of 2000, it was passed with just four dissenting votes and signed by the President helped seal the fate of the nation.

Lots of reasons and lots of blame to spread for the 2008 recession. Neither party can escape blame for the recession.

Actually since republicans controlled everything, they can be blamed.

The fact is the Clinton Administration was pushing this to be passed before the lame duck Congress convened. Rubin, Summers, Greenspan along with all but four Congressmen wanted it bad.

That isn’t the only reason for the meltdown, tons more and it involves both parties, Wall St.

To claim it was one party over the other party is the reason for the recession, is simplistic, very naive and is just moronic partisan BS.

Things always get called names when it is shown that republican policy is the problem.

You go with that, I find a balanced educated view of the entire problem is much better approach. I find partisan approaches are best if you don't want to think, it is just a blame game and nothing ever gets solved.

REPUBLICANS cut taxes. They were handed a balanced budget and instead going with that, they cut taxes, and ran up a big deficit. When Reagan did the exact same thing, unemployment hit 6% and the stock market experienced its worst crash since 1929, a few years later.

Republicans put the wars on the credit card, and then in the run-up to the 2004 election, W passed Medicare Part D - entirely unfunded, to woo senior voters. Then there was the American Dream Downpayment Act of 2003, which gave low income families grants to help cover closing costs on their first home purchases - another unfunded give-away. This incentive, combined with the lowest interest mortgages in history (in the first two years), this fueled the housing bubble.

Democrats may be the party of "tax and spend" but unlike Republicans, they tax BEFORE they spend. Obamacare had taxes which covered the costs of it, before Republicans started nibbling at the edges of it, trying to undercut it and make it fail.

Republicans seem to forget that economics are a matter of yin and yang. They want to spend like drunken sailors, but they don't want to tax. They want to go to war, but they don't make the rich people, who benefit the most from these foreign incursions, pay for their wars. At least the Romans had the good sense to make the Consuls pay their armies out of their own pockets. That kept the less wealthy ones at home, and sent the rich off to conquer the world.

Until you research what really happens you will continue to make these partisan mistakes. You need to research, here are a few articles, open your mind.

Lots of blame to go around and tons of mistakes.

The 2008 Meltdown And Where The Blame Falls

https://www.usnews.com/opinion/mzuc...kerman-who-to-blame-for-the-financial-crisis-

25 People to Blame for the Financial Crisis - TIME

Who Can We Blame For The Great Recession? | Seeking Alpha

The Great Recession Blame Game

 

[BuckToothMoron]

Bush triggered it. Obama nourished and, indeed, cherished it.

How could Former President Obama (the Scourge of the CRC) have cherished it since he wasn't in office until 2009? And, remember, in my OP, I pointed out that I've been told it was the Democrat's running Congress that caused the Recession.

You’ve been told? Why don’t you show who “told” you it was caused by democrats? I smell a STRAWMAN!

At least two posters here..but it was on another thread that was not the same topic, so in consideration and to not derail the other thread, I moved the discussion here. If you want the names of the two who kept telling me that, I will be glad to link that thread and/or tell you their names.

So a democrat somewhere told me

Bush triggered it. Obama nourished and, indeed, cherished it.

How could Former President Obama (the Scourge of the CRC) have cherished it since he wasn't in office until 2009? And, remember, in my OP, I pointed out that I've been told it was the Democrat's running Congress that caused the Recession.

You’ve been told? Why don’t you show who “told” you it was caused by democrats? I smell a STRAWMAN!

At least two posters here..but it was on another thread that was not the same topic, so in consideration and to not derail the other thread, I moved the discussion here. If you want the names of the two who kept telling me that, I will be glad to link that thread and/or tell you their names.

Yes, I am curious who it was and the context in which they said it.

As with many things, like economics and climate, there is almost always an amalgamation of many factors which cause events and notable change. No one party or person caused the recession any more than climate change is simply the result of humans driving cars.

Error | US Message Board - Political Discussion Forum

Read it for yourself.....leaving the entire thread for you to follow the string of posts and how it got off topic.

Really? You expect me to read over 400 post to see who said the recession was all democrats fault. I’ll just drop it.

 

[Papageorgio]

How could Former President Obama (the Scourge of the CRC) have cherished it since he wasn't in office until 2009? And, remember, in my OP, I pointed out that I've been told it was the Democrat's running Congress that caused the Recession.

You’ve been told? Why don’t you show who “told” you it was caused by democrats? I smell a STRAWMAN!

At least two posters here..but it was on another thread that was not the same topic, so in consideration and to not derail the other thread, I moved the discussion here. If you want the names of the two who kept telling me that, I will be glad to link that thread and/or tell you their names.

So a democrat somewhere told me

How could Former President Obama (the Scourge of the CRC) have cherished it since he wasn't in office until 2009? And, remember, in my OP, I pointed out that I've been told it was the Democrat's running Congress that caused the Recession.

You’ve been told? Why don’t you show who “told” you it was caused by democrats? I smell a STRAWMAN!

At least two posters here..but it was on another thread that was not the same topic, so in consideration and to not derail the other thread, I moved the discussion here. If you want the names of the two who kept telling me that, I will be glad to link that thread and/or tell you their names.

Yes, I am curious who it was and the context in which they said it.

As with many things, like economics and climate, there is almost always an amalgamation of many factors which cause events and notable change. No one party or person caused the recession any more than climate change is simply the result of humans driving cars.

Error | US Message Board - Political Discussion Forum

Read it for yourself.....leaving the entire thread for you to follow the string of posts and how it got off topic.

Really? You expect me to read over 400 post to see who said the recession was all democrats fault. I’ll just drop it.

There as many Democrats as Republicans that think it was the other party. Both sides are wrong.

 

[Dragonlady]

Democrats may be the party of "tax and spend" but unlike Republicans, they tax BEFORE they spend. Obamacare had taxes which covered the costs of it, before Republicans started nibbling at the edges of it, trying to undercut it and make it fail.

I'm sorry, but DumBama's debt was being increased every year; especially the first two years. If his "taxes covered" everything he spent, HTF did we end up 10 trillion dollars further in debt?

Economics 101 Ray. Try reading up on what happens when the stock market, the housing market, and the jobs all go south at the same time. It is important to keep as many people as possible working. You cannot tax during a recession, you MUST spend. Republicans kept Obama from spending enough on infrastructure, which the country sorely needs. But you must spend during a recession and cut spending during an economic boom. Obama did both, which lead to the strongest recover in history.

Instead of cutting spending, Trump has increased spending AND made deep cuts to taxes, after the Republicans basically made the Bush tax cuts permanent. You cannot run your household unless your income exceeds your expenses, so now you have the largest deficits in history during the tail end of the longest economic boom in history.

What happens when the inevitable recession hits? You can't increase spending to prime the pump, and taxes are now so lo, that the entire government is running on credit. Trump has been asked what happens to the country when the bill comes due for all of this and he has said he won't care because he'll be long gone.