Did the democrat controlled congress home ownership utopia create the housing bubble?
Question by Josey Wales: Did the democrat controlled congress residence ownership utopia generate the housing bubble?
QUOTE: “Lengthy-term pressure from Frank and his colleagues to expand property ownership connects government housing policies to both the housing bubble and the poor quality of the mortgages on which it is based”
http://www.forbes.com/2009/02/13/housing-bubble-subprime-opinions-contributors_0216_peter_wallison_edward_pinto.html
Did the actual estate collapse trigger insurance and banks to fail, and then additional snowball into high unemployment?
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Very best answer:
Answer by Paul Grass®™℠
Yes sir Frank and Dodd practically single handedly produced the housing melt down by their inept legislative push for Fannie and Freddy to underwrite negative loans. They didn’t care as they got kick backs and sweet deals in carrying out so, and that is a reality
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Categories: House Insurance Quotes Tags: Bubble, collapse, Colleagues, Congress, controlled, create, democrat, Dodd, Edward Pinto, Forbes, Freddy, Government Housing, Grass, home, Home Ownership, Housing, Housing Bubble, Josey Wales, Kick Backs, Mortgages, ownership, Poor Quality, Property Ownership, Snowball, Sweet Deals, unemployment, utopia
Financial Derivatives: What are They? – Housing Bubble Collapse – Unregulated Insurance
Was the lack of regulation on financial derivatives the main cause of our economic collapse? Or was it the easy money that Fanny Mae and Freddie Mac were giving out for home mortgages like there was no tomorrow? I would say that it was both, but there were other factors involved as well.
The way I see it is that there was overregulation on one hand, Fanny and Freddie, while on the other hand there was under regulation when it came to these derivatives.
I believe that this economic crisis we find ourselves in can be laid squarely on the shoulders of our federal government. They were the ones, along with the Feds, who made regulations that provided easy money for the taking, which was the cause of the housing bubble, which would have to collapse eventually, that is why they call it a bubble, because it is unsustainable.
I believe it’s good that they are now proposing regulations on these insane casino style derivatives that have no economic value for our country. I just hope that congress does not do what it is famous for, which is to overreact to a problem, and in the process, make it worse.
jbranstetter04
Duration : 0:9:29