If Jimmy Carter and Bill Clinton were so SMART why didn't they see this?

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Chad H

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That the Community Re Investment Act would cripple our economy in 2009?http://en.wikipedia.org/wiki/Community_Reinvestment_ActOriginal ActThe CRA was passed by the 95th United States Congress and signed into law by President Jimmy Carter in 1977 as a result of national pressure to address the deteriorating conditions of American cities—particularly lower-income and minority neighborhoods.In July 1993, President Clinton asked regulators to reform the CRA in order to make examinations more consistent, clarify performance standards, and reduce cost and compliance burden.[16] Robert Rubin, the Assistant to the President for Economic Policy, under President Clinton, explained that this was in line with President Clinton's strategy to "deal with the problems of the inner city and distressed rural communities".
 
Your still blaming Bush's disastrous policies of the last 8 years on Carter and, Clinton.
 
Nobody said they were SMART, but at least they weren't raving lunatics like nixon, reagan and both bushes..
 
They saw it and did not care what their social engineering would do.Just like robert rubin now says all the jobs should be for the blacks. What a racist this admin is.Back to CRA, then ole barney and his magic frank got into it with ole barney putting his frank in the head guy over at Fannie Mae's fannie, and started getting kick backs for him and fellow dems.And now, these same dems say they are the only ones who can fix it. Well they did a dam good job at screwing Americans over this how can they fix it.
 
They didn't see the ramifications of their stupidity or maybe, just maybe they did. Maybe this has been the "big plan" overall for solving a big problem like social security also.1st they force the banks and the entice the private sector to pay for "public housing" by creating and pushing the NINJA loan program. Then the politicos get to take that pesky housing budget they normally would have had to spend to actually "provide" housing and shoveled that task into the private sector. If they didn't know how, the SEC issued a nice policy paper and showed them how to do it in a "tax advantaged" manner in all those nifty offshore black box corporate thingys.2nd the politicians knew the bubble would come and also the crash we are in now. The solution, huge government spending programs to defeat the monstrous "deflationary spiral" no political animal wants to see and is only solved with massive spending and high rates of inflation which we can all look forward to in the not too distant future.The the politicos get to solve the worlds largest PONZI scheme, which is Social Security, by making sure the amount you see on your little official government social security statement means about nothing when you go to try and live on it upon retirement.Very Machiavellian but hardly beyond the pail for all these crooks and traitors.
 
the cra said to meet the needs of all borrowers. it didn't tell banks to approve loans to people they knew had no ability to repay that loan. the mortgage crisis is a result of banks wanting foreign countries to invest more money in their securities. mortgage backed securities were making gillions of dollars over treasury bills so the banks got greedy and wanted to offer more mortgage backed securities but there weren't enough houses being sold to create more securities because not enough people qualified for mortgages under normal lending standards. it was THE BANKS that started to relax their lending standards--under no gov't directive--which led to people getting loans they had no business getting. the banks thought--stupidly--that housing prices would rise forever. they gambled and lost. and that is the true reason for the mortgage crisis. not a piece of legislation designed to give low income borrowers a leg up in buying their own home.
 
Let's see. How many Republican presidents have there been since Carter? Reagan, Bush #1 and Bush #2. Apparently they weren't smart either! The crippling of our economy took place under Bush #2s watch. So why didn't he do something about the CRA?The CRA didn't cause the financial disaster we find ourselves in today. The current economic situation was brought about by good old American greed - of the banks, mortgage lenders and realtors who sold houses to people who couldn't afford them when interests rates went up. And, of course, the homeowners who knew that they couldn't afford them either.
 
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