Posts tagged crisis

Question : Why is the subprime crisis blamed on Republicans instead of Dems?
Why is it that Democrats are far more responsible for the subprime crisis, and yet it is blamed on Republicans?

Barney Frank
Christopher Dodd
Charles Schumer…
the CEO’s of Fannie Mae and Freddie Mac (both huge contributers and advisers to the Obama campaign, and one of whom was on Obama’s Vice Presidential vetting/selection committee)

When it is clearly Democrats most responsible, why is this presented as a Republican failure?

The record clearly shows that it was DEMOCRATS who prevented regulation of Fannnie Mae and Freddie Mac, while every single Republican, including John McCain, voted to regulate these organizations in 2003, 2004 and 2005, while Democrats said these organizations were “fundamentally sound”, and pressed for a trillion more in bad subprime loans, and basically said the Republicans were mean and racist for wanting to deny poor people loans.

And yet… the Republicans get blamed for the subprime mortgage collapse and its ripples throughout the financial markets.

To me, this is the biggest scam perpetrated in this election:
shunting blame onto the Republicans, for a crisis that clearly stems from Democrat/liberal policy, and social engineering with bank loans to unqualified and unreliable borrowers, that inevitably exploded in our faces.

Prior to this crisis, McCain was pulling into the lead over Obama in the election polls.

The facts are still on McCain’s side, of clear Democrat responsibility and clear denial by Democrats of the subprime problem for years, even when Republicans warned of its coming in 2003-2005. So why are these facts not made clear, when it’s clear the Democrats are wrong, and the very ones responsible and most bought and paid for by the sub-prime bandits (Barney Frank, Christopher Dodd, Charles Schumer, etc.) will be the ones left in power and determining policy if the Democrats win on November 4th ?

It’s insane.

How do the dems get away with it?
And why doesn’t the McCain campaign slam them with the facts?

MRLINUXGUY,
I can agree with your A) and B) points to some degree. But on C), every Republican voted for further Fannie Mae/Freddie Mac legislation, while every Democrat opposed it. And again, you can google up Barney Frank on Youtube assuring us from 2003 up till this year that Fannie Mae/Freddie Mac were “fundamentally sound” and “a solid investment going forward”. There’s no scapegoating around that and trying to blame it on the Republicans.
Granted, Republicans have some culpability on this too, but on subprime, it was the Republicans who pushed for regulation.
A SPORTS FAN,
You make some good points. When McCain’s camp brought up William Ayers, Obama retaliated by dredging up the CHarles Keating scandal of the 80′s (although there McCain was chided for the APPEARANCE of wrongdoing, and poor judgement as a rookie Senator, though not guilty of any criminal action, unlike 3 of the 4 Democrat senators found criminally guilty.)

http://en.wikipedia.org/wiki/Keating_Five

SOCRATES,
Not all of that 8 years have the Republicans had a majority. And as the Republican minority has shown over the last 2 years, a minority can still block the will of the congressional/senate majority, if they choose to.
subprime mortgage leads

Best answer:

Answer by mrlinuxguy
A. Subprimes do not make up the majority of the home forclosures.
B. The deregulation allowing these mortgages to be put out onto the stock market and then bet against without anything to back it up is compliments of the republican congress.
C. While all these mortgages were being handed out, the republicans had full control of the house, senate and presidency so they could have easily changed any law they wanted to – even gotten rid of sub prime lending.