Capt.Slog 0 #51 February 5, 2009 QuoteQuoteQuote When businesses have more money, the typical response of management is to use it to grow the business. But this environment is anything but typical. The banks were given large (fucking large) infusions of cash so that they would make the lending markets more liquid again, but aside from giving bonuses, they're all electing to hold onto all the cash for fear of failure. While that might be the intelligent choice for them, it doesn't seem like the intelligent choice for us if the purpose of the money is to move things along again. Quite the opposite, it suggests that bailout II should be geared toward increasing the demand side. Quote Will some of that "new money" be used to treat execs to vaca's or remodel office suites? Sure it will, but why should anyone care? It's the free market doing what it does best. The free market got us into this mess. Government manipulation of the free market is what got us into this mess. In this case it was called the Community Reinvestment Act. Pity the data does NOT support your claim. The default rate on CRA loans is low. The sum total of all CRA loans ever made is a drop in the bucket compared to the magnitude of the mess. Nice scapegoat though. Quote Share this post Link to post Share on other sites
chuckakers 426 #52 February 5, 2009 QuoteQuoteQuoteQuote When businesses have more money, the typical response of management is to use it to grow the business. But this environment is anything but typical. The banks were given large (fucking large) infusions of cash so that they would make the lending markets more liquid again, but aside from giving bonuses, they're all electing to hold onto all the cash for fear of failure. While that might be the intelligent choice for them, it doesn't seem like the intelligent choice for us if the purpose of the money is to move things along again. Quite the opposite, it suggests that bailout II should be geared toward increasing the demand side. Quote Will some of that "new money" be used to treat execs to vaca's or remodel office suites? Sure it will, but why should anyone care? It's the free market doing what it does best. The free market got us into this mess. Government manipulation of the free market is what got us into this mess. In this case it was called the Community Reinvestment Act. Pity the data does NOT support your claim. The default rate on CRA loans is low. The sum total of all CRA loans ever made is a drop in the bucket compared to the magnitude of the mess. Nice scapegoat though. The CRA loans are only part of the equation. The bigger culprit was the lowering of lending standards, allowing people to buy with no down payment, bad credit, no income verification, etc.Chuck Akers D-10855 Houston, TX Quote Share this post Link to post Share on other sites
idrankwhat 0 #53 February 5, 2009 Quote The CRA loans are only part of the equation. The bigger culprit was the lowering of lending standards, allowing people to buy with no down payment, bad credit, no income verification, etc. Lowered by whom, for what reason, and who allowed it to happen? Marg's excellent post has some clues. Actually the Madoff/SEC hearings provide some insight into the mindset that helped get us into this mess. When money is being made hand over fist, some people tend to look the other way. Quote Share this post Link to post Share on other sites
chuckakers 426 #54 February 5, 2009 QuoteQuote Lowered by whom, for what reason, and who allowed it to happen? Barney Frank, Chris Dodd, and the band of libs that vote with them. They forced banks - via legislation and strong arming by their buddies at ACORN (which is supposed to be a get out the vote organization) - to make loans that people were not qualified for and wree destined to fail. The reason? Social justice, in their minds. Idiots.Chuck Akers D-10855 Houston, TX Quote Share this post Link to post Share on other sites jerryzflies 0 #55 February 5, 2009 QuoteQuoteQuote Lowered by whom, for what reason, and who allowed it to happen? Barney Frank, Chris Dodd, and the band of libs that vote with them. They forced banks - via legislation and strong arming by their buddies at ACORN (which is supposed to be a get out the vote organization) - to make loans that people were not qualified for and wree destined to fail. The reason? Social justice, in their minds. Idiots. Except for CRA, which was NOT in fact part of the problem, no-one in government forced any bank to loan to anyone. Nice attempt at buck passing, but it was McCain who called himself "The Deregulator". Edited fur spelinIf you can't fix it with a hammer, the problem's electrical. Quote Share this post Link to post Share on other sites idrankwhat 0 #56 February 5, 2009 QuoteQuoteQuote Lowered by whom, for what reason, and who allowed it to happen? Barney Frank, Chris Dodd, and the band of libs that vote with them. They forced banks - via legislation and strong arming by their buddies at ACORN (which is supposed to be a get out the vote organization) - to make loans that people were not qualified for and wree destined to fail. The reason? Social justice, in their minds. Idiots. This is the second time that you've completely ignored Marg's post. The information is there if you're interested in broadening your perspective. If you wish to keep it narrow in order to isolate responsibility to your demon du jour (while ignoring the majority of the scope of the issue) then that's your decision. However I'm pretty sure that this approach is why history seems to repeat itself. Quote Share this post Link to post Share on other sites DanG 1 #57 February 5, 2009 http://www.federalreserve.gov/newsevents/speech/20081203_analysis.pdf On the relationship between the CRA and the current financial crisis. In all fairness, I could have also pulled articles that reach the opposite conclusion, but I think that this report from the Federal Reserve should be given more weight than media analyses. http://www.npr.org/templates/story/story.php?storyId=17597739 http://articles.latimes.com/2008/oct/06/local/me-immighome6 On the performance of loans to illegal aliens. I know, it's NPR and the LA Times, so it must be liberally biased. Feel free to discount the information on that basis, or just because it doesn't fit into your worldview. - Dan G Quote Share this post Link to post Share on other sites billvon 3,120 #58 February 5, 2009 >Barney Frank, Chris Dodd, and the band of libs that vote with them. They > forced banks - via legislation and strong arming by their buddies at >ACORN (which is supposed to be a get out the vote organization) - to > make loans that people were not qualified for and wree destined to fail. Yep. And at the same time, fools like Phil Gramm, Jim Leach and Thomas Bliley were removing regulation and reporting requirements from financial instututions. Paulson allowed them to take on more debt, and Ewing and Bliley ended reporting requirements for CDSes and opened the Enron loophole. They figured that if you just let the banks do whatever they wanted to, they would never, ever do anything selfish, stupid or shortsighted. The reason? They figured they could make a bit more money that way, and if anything went wrong, well, who the fuck cares as long as they could make money in the meantime? Some quotes from meetings during that time: "We’ve said these are the big guys, but that means if anything goes wrong, it’s going to be an awfully big mess." "I’m very happy to support it, and I keep my fingers crossed for the future." Not sure if they are more guilty of a crime or just garden variety stupidity. Quote Share this post Link to post Share on other sites Prev 1 2 3 Next Page 3 of 3 Join the conversation You can post now and register later. If you have an account, sign in now to post with your account. Note: Your post will require moderator approval before it will be visible. Reply to this topic... × Pasted as rich text. Paste as plain text instead Only 75 emoji are allowed. × Your link has been automatically embedded. Display as a link instead × Your previous content has been restored. Clear editor × You cannot paste images directly. Upload or insert images from URL. Insert image from URL × Desktop Tablet Phone Submit Reply 0 Go To Topic Listing
jerryzflies 0 #55 February 5, 2009 QuoteQuoteQuote Lowered by whom, for what reason, and who allowed it to happen? Barney Frank, Chris Dodd, and the band of libs that vote with them. They forced banks - via legislation and strong arming by their buddies at ACORN (which is supposed to be a get out the vote organization) - to make loans that people were not qualified for and wree destined to fail. The reason? Social justice, in their minds. Idiots. Except for CRA, which was NOT in fact part of the problem, no-one in government forced any bank to loan to anyone. Nice attempt at buck passing, but it was McCain who called himself "The Deregulator". Edited fur spelinIf you can't fix it with a hammer, the problem's electrical. Quote Share this post Link to post Share on other sites idrankwhat 0 #56 February 5, 2009 QuoteQuoteQuote Lowered by whom, for what reason, and who allowed it to happen? Barney Frank, Chris Dodd, and the band of libs that vote with them. They forced banks - via legislation and strong arming by their buddies at ACORN (which is supposed to be a get out the vote organization) - to make loans that people were not qualified for and wree destined to fail. The reason? Social justice, in their minds. Idiots. This is the second time that you've completely ignored Marg's post. The information is there if you're interested in broadening your perspective. If you wish to keep it narrow in order to isolate responsibility to your demon du jour (while ignoring the majority of the scope of the issue) then that's your decision. However I'm pretty sure that this approach is why history seems to repeat itself. Quote Share this post Link to post Share on other sites DanG 1 #57 February 5, 2009 http://www.federalreserve.gov/newsevents/speech/20081203_analysis.pdf On the relationship between the CRA and the current financial crisis. In all fairness, I could have also pulled articles that reach the opposite conclusion, but I think that this report from the Federal Reserve should be given more weight than media analyses. http://www.npr.org/templates/story/story.php?storyId=17597739 http://articles.latimes.com/2008/oct/06/local/me-immighome6 On the performance of loans to illegal aliens. I know, it's NPR and the LA Times, so it must be liberally biased. Feel free to discount the information on that basis, or just because it doesn't fit into your worldview. - Dan G Quote Share this post Link to post Share on other sites billvon 3,120 #58 February 5, 2009 >Barney Frank, Chris Dodd, and the band of libs that vote with them. They > forced banks - via legislation and strong arming by their buddies at >ACORN (which is supposed to be a get out the vote organization) - to > make loans that people were not qualified for and wree destined to fail. Yep. And at the same time, fools like Phil Gramm, Jim Leach and Thomas Bliley were removing regulation and reporting requirements from financial instututions. Paulson allowed them to take on more debt, and Ewing and Bliley ended reporting requirements for CDSes and opened the Enron loophole. They figured that if you just let the banks do whatever they wanted to, they would never, ever do anything selfish, stupid or shortsighted. The reason? They figured they could make a bit more money that way, and if anything went wrong, well, who the fuck cares as long as they could make money in the meantime? Some quotes from meetings during that time: "We’ve said these are the big guys, but that means if anything goes wrong, it’s going to be an awfully big mess." "I’m very happy to support it, and I keep my fingers crossed for the future." Not sure if they are more guilty of a crime or just garden variety stupidity. Quote Share this post Link to post Share on other sites Prev 1 2 3 Next Page 3 of 3 Join the conversation You can post now and register later. If you have an account, sign in now to post with your account. Note: Your post will require moderator approval before it will be visible. Reply to this topic... × Pasted as rich text. Paste as plain text instead Only 75 emoji are allowed. × Your link has been automatically embedded. Display as a link instead × Your previous content has been restored. Clear editor × You cannot paste images directly. Upload or insert images from URL. Insert image from URL × Desktop Tablet Phone Submit Reply 0 Go To Topic Listing
idrankwhat 0 #56 February 5, 2009 QuoteQuoteQuote Lowered by whom, for what reason, and who allowed it to happen? Barney Frank, Chris Dodd, and the band of libs that vote with them. They forced banks - via legislation and strong arming by their buddies at ACORN (which is supposed to be a get out the vote organization) - to make loans that people were not qualified for and wree destined to fail. The reason? Social justice, in their minds. Idiots. This is the second time that you've completely ignored Marg's post. The information is there if you're interested in broadening your perspective. If you wish to keep it narrow in order to isolate responsibility to your demon du jour (while ignoring the majority of the scope of the issue) then that's your decision. However I'm pretty sure that this approach is why history seems to repeat itself. Quote Share this post Link to post Share on other sites DanG 1 #57 February 5, 2009 http://www.federalreserve.gov/newsevents/speech/20081203_analysis.pdf On the relationship between the CRA and the current financial crisis. In all fairness, I could have also pulled articles that reach the opposite conclusion, but I think that this report from the Federal Reserve should be given more weight than media analyses. http://www.npr.org/templates/story/story.php?storyId=17597739 http://articles.latimes.com/2008/oct/06/local/me-immighome6 On the performance of loans to illegal aliens. I know, it's NPR and the LA Times, so it must be liberally biased. Feel free to discount the information on that basis, or just because it doesn't fit into your worldview. - Dan G Quote Share this post Link to post Share on other sites billvon 3,120 #58 February 5, 2009 >Barney Frank, Chris Dodd, and the band of libs that vote with them. They > forced banks - via legislation and strong arming by their buddies at >ACORN (which is supposed to be a get out the vote organization) - to > make loans that people were not qualified for and wree destined to fail. Yep. And at the same time, fools like Phil Gramm, Jim Leach and Thomas Bliley were removing regulation and reporting requirements from financial instututions. Paulson allowed them to take on more debt, and Ewing and Bliley ended reporting requirements for CDSes and opened the Enron loophole. They figured that if you just let the banks do whatever they wanted to, they would never, ever do anything selfish, stupid or shortsighted. The reason? They figured they could make a bit more money that way, and if anything went wrong, well, who the fuck cares as long as they could make money in the meantime? Some quotes from meetings during that time: "We’ve said these are the big guys, but that means if anything goes wrong, it’s going to be an awfully big mess." "I’m very happy to support it, and I keep my fingers crossed for the future." Not sure if they are more guilty of a crime or just garden variety stupidity. Quote Share this post Link to post Share on other sites Prev 1 2 3 Next Page 3 of 3 Join the conversation You can post now and register later. If you have an account, sign in now to post with your account. Note: Your post will require moderator approval before it will be visible. Reply to this topic... × Pasted as rich text. Paste as plain text instead Only 75 emoji are allowed. × Your link has been automatically embedded. Display as a link instead × Your previous content has been restored. Clear editor × You cannot paste images directly. Upload or insert images from URL. Insert image from URL × Desktop Tablet Phone Submit Reply 0
DanG 1 #57 February 5, 2009 http://www.federalreserve.gov/newsevents/speech/20081203_analysis.pdf On the relationship between the CRA and the current financial crisis. In all fairness, I could have also pulled articles that reach the opposite conclusion, but I think that this report from the Federal Reserve should be given more weight than media analyses. http://www.npr.org/templates/story/story.php?storyId=17597739 http://articles.latimes.com/2008/oct/06/local/me-immighome6 On the performance of loans to illegal aliens. I know, it's NPR and the LA Times, so it must be liberally biased. Feel free to discount the information on that basis, or just because it doesn't fit into your worldview. - Dan G Quote Share this post Link to post Share on other sites
billvon 3,120 #58 February 5, 2009 >Barney Frank, Chris Dodd, and the band of libs that vote with them. They > forced banks - via legislation and strong arming by their buddies at >ACORN (which is supposed to be a get out the vote organization) - to > make loans that people were not qualified for and wree destined to fail. Yep. And at the same time, fools like Phil Gramm, Jim Leach and Thomas Bliley were removing regulation and reporting requirements from financial instututions. Paulson allowed them to take on more debt, and Ewing and Bliley ended reporting requirements for CDSes and opened the Enron loophole. They figured that if you just let the banks do whatever they wanted to, they would never, ever do anything selfish, stupid or shortsighted. The reason? They figured they could make a bit more money that way, and if anything went wrong, well, who the fuck cares as long as they could make money in the meantime? Some quotes from meetings during that time: "We’ve said these are the big guys, but that means if anything goes wrong, it’s going to be an awfully big mess." "I’m very happy to support it, and I keep my fingers crossed for the future." Not sure if they are more guilty of a crime or just garden variety stupidity. Quote Share this post Link to post Share on other sites
