Quote:
Originally Posted by gldstwmn
. . . It will be interesting to see how many fans of deregulation there will be now.
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As i have said since like 2001, W and his administration clearly knew that the housing market was grossly inflating because Greenspan repeatedly and publicly warned of this up to his retirement. But, W could do nothing about it because the housing boom was the only thing propping up the fragile economy, which was made worse by W's insane borrowing to spend in Iraq. In other words, without allowing the creative financing that propelled the housing boom, the economy under W would have been far worse (note -- it was not that bad under W and even good in some spots - it was the spending that caused the problems) -- So, in a very real way, the housing boom is W's fault because with a little tighter application of the existing regulations, it could have been possibly prevented or at least its effects lessened.
What I do not understand is the vast najority of mortgages out there are being paid. So, why have their been somwhere over 20 billion dollars in write downs?