So why do we have U.S. financial crisis?
- Thread starter MReid
- Start date
Pete McCluskey.
Lifetime Supporter
Very interesting, thanks for posting. Good music as well.
Very enlightening Mark.It's interesting to note that a program originally designed (and a good one in theory) to help those on the lower end of the ladder would,through mandated action carried to an extreme,would end up flushing them down the affordability toilet.I wonder why earlier warnings by McCain went unheeded.Did he try to push something through that others added undesirable elements to,causing lawmakers to vote the entire bill down? Or was everybody too busy making a fortune to listen? Check out the prospects for a solution.(http://www.thenation.com/doc/20081006/ferguson_johnson/2)I can't quote the source but I remember a statement that the 'average' CEO previous to 1980 or so made 43 times the average workers's salary but now makes over 400 times the aws.I remember also that in a company I worked for,the Board hired a CEO from their 'circle' at a salary of app 43mil for 3 yr.In 9 months it was clear he was running the company into the ground so they ousted him but had to pay him 20mil more to get rid of him. Most of us would have gotten the old 5 and 5 (5 minutes to clean out your desk and another 5 to get out of the building).Anyway,it was good to shed some light on who the actual players were/are.I think John is a straight shooter,it's just his choice for number 2 that makes me nervous.That comment should put me on the Watchlist;it doesn't take much.I just hope that Big Brother learns something about GT40's while he's perusing the website. BTW,you could have installed a new throttle cable in the time it took to post this thread - let's get those priorities straight! Again,let me know if you need any assistance. A.J.
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Al,
Just remember that if elected, each day that Sarah is on the job, it gives her one more day of running the government, one more day of CHANGE, and one more day of foreign policy experience than Barack!!
Bill
Just remember that if elected, each day that Sarah is on the job, it gives her one more day of running the government, one more day of CHANGE, and one more day of foreign policy experience than Barack!!
Bill
The basics still apply. When they're ignored Scottish historian and jurist Alexander Fraser Tytler explained it best in his book The Decline and Fall of the Athenian Empire
"A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves largess from the public treasury. From that moment on, the majority always votes for the candidates promising the most benefits from the public treasury with the result that a democracy always collapses over loose fiscal policy, always followed by a dictatorship. The average age of the world's greatest civilizations has been 200 years.
These nations have progressed through this sequence:
From bondage to spiritual faith;
From spiritual faith to great courage;
From courage to liberty;
From liberty to abundance;
From abundance to selfishness;
From selfishness to apathy;
From apathy to dependence;
From dependence back into bondage.
"A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves largess from the public treasury. From that moment on, the majority always votes for the candidates promising the most benefits from the public treasury with the result that a democracy always collapses over loose fiscal policy, always followed by a dictatorship. The average age of the world's greatest civilizations has been 200 years.
These nations have progressed through this sequence:
From bondage to spiritual faith;
From spiritual faith to great courage;
From courage to liberty;
From liberty to abundance;
From abundance to selfishness;
From selfishness to apathy;
From apathy to dependence;
From dependence back into bondage.
Yeah right...............someone high up did not like the truth !!!
Especially since so many videos have music as background or intros!!
Bill
Bill
Whoa! How much fact, how much fiction? :stunned::stunned::stunned:
I posted this on the Capital Area Cobra Club so the Cobra boys could see it.
Thanks Mark
Howard
I posted this on the Capital Area Cobra Club so the Cobra boys could see it.
Thanks Mark
Howard
Well, there are two sides to every story as they say...
Community Reinvestment Act had nothing to do with subprime crisis - BusinessWeek
According to this financial writer, the CRA (Community Reinvestment Act) that the republican kiss-ass who made the video blames for the current crisis behaved exactly the opposite. The Act as written and passed was doing very well until Bush took some of the government oversight away (this is actually very believable since that's following the republican script of an absolutely free market).
Apparently the purpose and objective of the CRA was to force banks NOT to just willy-nilly give out sub-prime loans, but to offer loans and credit vehicles that better match the financial levels of the very communities that they do business with.
Background & Purpose
So, let me get this straight. A bill from 30 years ago (mind you, many, many mortgages from then have already been paid off) has caused this problem of the past 5 - 8 years? I don't buy it.
Community Reinvestment Act had nothing to do with subprime crisis - BusinessWeek
According to this financial writer, the CRA (Community Reinvestment Act) that the republican kiss-ass who made the video blames for the current crisis behaved exactly the opposite. The Act as written and passed was doing very well until Bush took some of the government oversight away (this is actually very believable since that's following the republican script of an absolutely free market).
Apparently the purpose and objective of the CRA was to force banks NOT to just willy-nilly give out sub-prime loans, but to offer loans and credit vehicles that better match the financial levels of the very communities that they do business with.
Background & Purpose
So, let me get this straight. A bill from 30 years ago (mind you, many, many mortgages from then have already been paid off) has caused this problem of the past 5 - 8 years? I don't buy it.
I like to get information from more than one source and both sides. Here's some feedback to the video from the left:
MyDD :: Breakdown of today's housing crisis: How we got to where we are today.
MyDD :: Breakdown of today's housing crisis: How we got to where we are today.
Chris, the video is no longer available. I would love to hear the comments, so if it is posted or turns up someplace else, please advise.
I have a couple of questions for anyone/everyone.
If the CRA wasn't enacted, (did not exist) do you believe we would be in the financial crisis that we are?
Can the origination of the subprime loans be traced back to the CRA?
While it may be true that some/most of the subprime loans were made by institutions not regulated by CRA, does anyone honestly believe that the institutions would have made those loans without the knowledge/guarantee that Fannie/Freddie would buy them?
Just some things to consider.
I don't know why our legislators always overlook the simple GREED of people. (Actually I do. They overlook because they are either too stupid, or are motivated by their own self interests/greed) You would think by now that our so called "leaders" and "representatives" would know that if something can be taken advantage of for personal gain, someone will take advantage.
I have a couple of questions for anyone/everyone.
If the CRA wasn't enacted, (did not exist) do you believe we would be in the financial crisis that we are?
Can the origination of the subprime loans be traced back to the CRA?
While it may be true that some/most of the subprime loans were made by institutions not regulated by CRA, does anyone honestly believe that the institutions would have made those loans without the knowledge/guarantee that Fannie/Freddie would buy them?
Just some things to consider.
I don't know why our legislators always overlook the simple GREED of people. (Actually I do. They overlook because they are either too stupid, or are motivated by their own self interests/greed) You would think by now that our so called "leaders" and "representatives" would know that if something can be taken advantage of for personal gain, someone will take advantage.
My simple opinion -
everyone who participated in the housing market, from top to bottom, are
at fault. And, it was a self-fulfilling prophecy.
The lenders, for making these horrendous loans seem attractive in order
for consumers to use them to purchase homes they otherwise could not
afford.
The real estate business, for driving up prices as the lenders made it easier
to get larger loans.
The government (both sides) for not reacting to the situation earlier, instead,
relying on the housing market to cover up an otherwise horrendous economic
crisis - which became all too apparent too late. Included in this is the lack of
oversight as well.
The consumers themselves for extending their credit beyond their means.
Ian
everyone who participated in the housing market, from top to bottom, are
at fault. And, it was a self-fulfilling prophecy.
The lenders, for making these horrendous loans seem attractive in order
for consumers to use them to purchase homes they otherwise could not
afford.
The real estate business, for driving up prices as the lenders made it easier
to get larger loans.
The government (both sides) for not reacting to the situation earlier, instead,
relying on the housing market to cover up an otherwise horrendous economic
crisis - which became all too apparent too late. Included in this is the lack of
oversight as well.
The consumers themselves for extending their credit beyond their means.
Ian
One last tidbit:
An old friend from Ford (retired purchasing guy) oldest daughter worked for Abbey National before she went off to Australia. She didn't like the job and wanted a change.
Her job was to sell Mortgages and Insurance that was well above people's ability to pay. Reason: "if they default, then we get the house"
So, I guess the banks did play a part in it all (as did most).
Question: From where came this hideous greed that is killing us all?
Did the banks want to regulate?
Did the politicans (both sides of the ocean) want to change the lending laws?
Did people want to stop their consumption?
Best
Dom
An old friend from Ford (retired purchasing guy) oldest daughter worked for Abbey National before she went off to Australia. She didn't like the job and wanted a change.
Her job was to sell Mortgages and Insurance that was well above people's ability to pay. Reason: "if they default, then we get the house"
So, I guess the banks did play a part in it all (as did most).
Question: From where came this hideous greed that is killing us all?
Did the banks want to regulate?
Did the politicans (both sides of the ocean) want to change the lending laws?
Did people want to stop their consumption?
Best
Dom
I really think it would be hard to find just one side guilty in this mess. We kow that ALL politicians lie. What I do find interesting is that the information that both sides have put out is yet to be disproven. I mean disproven from the individuals mentionedIn the first video. Can you debunk Obama record? Or Criss Dodds? Can you debunk McCains record on this mess? Liberals scare me because they are trying to get more for those that don't have it rather than teaching them how to get it(whatever it is). Afterall it increases their voter base. Government has yet to solve anything. For that matter, they have screwed royally everything they have set out to fix. Do you honestly think they will fix this? The free market might just be greedy without regulation. But they have always thought up ways to get out of the messes they have been factors in(sometimes it makes the mess worse like this time).
For people who want things, it really comes down to good and bad choices in 90% of the cases. If you don't like being a have not, then do something that will change that(besides voting for itbecause it probably won't). Sure it would be nice for everybody to have a home, but not everybody can afford it so they have to rent, or at least rent til they save up enough to buy. I would venture that most on this forum are in that camp that made more good decisions than bad and we learned from those. If you want the better things, you have to prepare or at least find out what you need to do to prepare for it.
You can't get along by having things given to you. This country was founded on the get up and get it mentality. Those that get a lot handed to them(rich and poor) tend to learn to expect it and will vote that way. So sad. As the politicians add more to those rolls the further down our society will decline.
Thanks for listening to my rant. Now flame me til I am medium well please, winter is comming on. I need the heat, and it'll save me some energy.
Bill
For people who want things, it really comes down to good and bad choices in 90% of the cases. If you don't like being a have not, then do something that will change that(besides voting for itbecause it probably won't). Sure it would be nice for everybody to have a home, but not everybody can afford it so they have to rent, or at least rent til they save up enough to buy. I would venture that most on this forum are in that camp that made more good decisions than bad and we learned from those. If you want the better things, you have to prepare or at least find out what you need to do to prepare for it.
You can't get along by having things given to you. This country was founded on the get up and get it mentality. Those that get a lot handed to them(rich and poor) tend to learn to expect it and will vote that way. So sad. As the politicians add more to those rolls the further down our society will decline.
Thanks for listening to my rant. Now flame me til I am medium well please, winter is comming on. I need the heat, and it'll save me some energy.
Bill
Gregg, it sounds like you have a pretty good handle on it. I for one am getting a little tired of hearing Pelosi scream about the Bush administration's flawed economic policies. The rush of the government to eleminate red lining and mortgages available to everyone started back in the Carter years and has been continued overtime. If you plot the cpi alongside the price of housing you will see a correlation. Up to the time of mandating loans for the low income population housing and the cpi moved in unison. Once the availability of loans was moved down the income scale, housing started climbing faster and faster. Our politicians in general don't care about much beyond getting re-elected and they love giving away our money to achieve this. Some where in history someone explained the failure of democracy comes about when the people find out they can vote themselves some perks and eventually end up voting a dictator into power to straighten it all out. Looks like we are moving right along the path if you look at the bond issues and spending that the voters keep voting in and that our leaders seem to encourage. Maybe if there is no bailout and the business's fail and the unempoyment goes up and housing prices plunge, the voters will wake up to the fact that there is no free lunch and all those jobs being done green card holders could have been done by those unemployed if they had bothered to get the training and would work for the same wages that these guys seemed to do ok with.
The Answer is ISLAMIC REPUBLIC,
And Sheik as the Dictator,,,,
My first Act,,,, behead ALL THOSE who like Gulf Blue
Second ACT,,,,,Behead all Real Democrats and Real Republicans
Third ACT,,,,,Invade England,,,,and force them to drive on the right side
Final Act,,,,,,Ban all sensible "CAR TALK" on this Forum and behead the Moderator.
And Sheik as the Dictator,,,,
My first Act,,,, behead ALL THOSE who like Gulf Blue
Second ACT,,,,,Behead all Real Democrats and Real Republicans
Third ACT,,,,,Invade England,,,,and force them to drive on the right side
Final Act,,,,,,Ban all sensible "CAR TALK" on this Forum and behead the Moderator.
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