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Banks were not "pressured" to write those loans
Fri Aug 19, 2011 2:24pm

It was the other way around. It was the banks that lobbied to strip these regulations. You seem to forget that a good chunk of DC is influenced by corporations. Banks lobbied heavily to Republicans. McCain before the the S/L crisis, and Gramm who orchestrated the bill that started the real estate bubble.

When one starts off with a deficit of 1.3T, it takes years to eliminate it. That adds to the national debt pretty quick. Just ask the GOP house (the ones holding the purse strings) how long it will take to eliminate it with their paltry cuts of only 150B per year average. So yes, that rabbit hole is getting bigger.

  • Obama's rabbit hole?Lewis, Fri Aug 19 8:06am
    Yes, he did. And the housing mess goes 'way, way back to Clinton's first term - in fact, it has its roots in LBJ's "great war on poverty" - because of which banks were pressured to write "NINJA"... more
    • Banks were not "pressured" to write those loans — Mike, Fri Aug 19 2:24pm
      • Really?Lewis, Sat Aug 20 8:10am
        No, I'm speaking of pressure applied TO the banks. The pressure wasn't intended to eliminate regulation - it was applied TO the banks to "encourage" them to right NINJA loans. The pressure traveled... more
        • Again, NO pressure to the banksMike, Sat Aug 20 3:31pm
          Banks are public companies that are loyal to their share holders. The banks LOBBIED to have regulations stripped because THEY wanted to increase their bottom line - nothing more. Read up on how much... more
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