Why is it the Bush Mortgage Bubble? Because Bush created it.

[LV426]

do you think banks influenced the decision to lower standards?

So now you're admitting that the Bush Administration was colluding with Wall Street to inflate a mortgage bubble...which is exactly what I've been saying this whole time.

Bush inflated a mortgage bubble so that the economy could look like it was growing as a result of his tax cuts when it was really growing as a result of debt. And that intention should be crystal clear for you because Bush campaigned on that very message in 2004:

Bush Ties Policy to Record Home Ownership
Touting his tax cuts as the economy's savior — and pointing to the strong housing market as proof — Bush said "more people own their own home now than ever." More than 50 percent of minorities owned their own homes in the last three months of 2003 for the first time ever, the president said.
https://www.foxnews.com/story/bush-ties-policy-to-record-home-ownership

 

[Jerry Mathers]

So now you're admitting that the Bush Administration was colluding with Wall Street to inflate a mortgage bubble...which is exactly what I've been saying this whole time.

Bush inflated a mortgage bubble so that the economy could look like it was growing as a result of his tax cuts when it was really growing as a result of debt. And that intention should be crystal clear for you because Bush campaigned on that very message in 2004:

Bush Ties Policy to Record Home Ownership
Touting his tax cuts as the economy's savior — and pointing to the strong housing market as proof — Bush said "more people own their own home now than ever." More than 50 percent of minorities owned their own homes in the last three months of 2003 for the first time ever, the president said.
https://www.foxnews.com/story/bush-ties-policy-to-record-home-ownership

yes. and dems collude.

but you still don't blame bad policing over the perpetrators themselves.

sorry charlie, that dog don't hunt.

 

[LV426]

and couldn't banks have voluntarily kept reasonable standards?

You can't expect banks to act responsibly. That's why regulators are important. So when you direct your regulators to stop enforcing standards, the banks are going to not act responsibly because they inherently don't act responsibly.

So having your regulators cease the enforcement of lending standards would be a mistake unless you wanted those banks to inflate a mortgage bubble.

Now, why would you want the banks to do that? Because your economic dogma is tied to these dumb tax cuts, and after the 2001 and 2003 tax cuts, the economy was still anemic. An anemic economy would kill Bush in his re-election in 2004, so he took action to inflate a housing bubble because it would temporarily boost the economy in time for the 2004 election, thus removing the economy as a central campaign issue.

If there was no subprime bubble, Bush would have lost in 2004 because the economy was shit thanks to his dumb tax cuts.

 

[PostmodernProphet]

And ironically Obama was tasked with fixing the problem and all he could come up with was printing money.

he made the guy who bundled the subprime mortgages and had the FED guarantee them his Treasury head.....

 

[LV426]

yes. and dems collude.

but you still don't blame bad policing over the perpetrators themselves.

sorry charlie, that dog don't hunt.

OK, but they didn't collude here, and what we are specifically talking about on this thread is what caused the Bush Mortgage Bubble.

Democrats weren't even in the room in 2004. Bush and the Conservatives controlled everything and could shape policy and regulation as they wished...and that's exactly what they did, to the detriment of everyone else.

 

[LV426]

he made the guy who bundled the subprime mortgages and had the FED guarantee them his Treasury head.....

The FED didn't guarantee mortgage-backed securities.

The FED didn't even guarantee most subprime lending from 2004-2007.

It took an order by the Bush Administration in 2004 for GSE's to purchase risky subprime loans.

From 2000-2003, they couldn't because Clinton prohibited it in 2000.

You are in over your head.

 

[Teflon Don]

do you think banks influenced the decision to lower standards?

and couldn't banks have voluntarily kept reasonable standards?

Apparently she doesn’t understand the concept of moral hazard

The bankstas ALWAYS knew the gobblement would bail them out so there was no disincentive for them to act irresponsibly

That is why I brought up Canada. The Canadian gobblement doesn’t get involved in home ownership so moral hazard doesn’t come into play. Therefore the bankstas don’t make risky loans

Of course LV the race hustler wants it both ways. She cries about “redlining” and bankstas don’t lend to minorities not because they may be poor credit risks but because of RACISM. So when the bankstas lend to low credit risk borrowers LV complains yet again.

 

[PostmodernProphet]

You know what's funny

yes......you ignoring Barney Frank's role in preventing control of the sub-prime mortgages.....

Sneering at financial reformers before a 2003 House hearing, Frank asserted: "I want to begin by saying that I am glad to consider the legislation, but I do not think we are facing any kind of a crisis. That is, in my view, the two government-sponsored enterprises we are talking about here, Fannie Mae and Freddie Mac, are not in a crisis. ... I do not think at this point there is a problem with a threat to the Treasury."

https://www.realclearpolitics.com/articles/2011/05/27/barney_franks_friends_with_benefits_110004.html

 

[LV426]

I said the problem started with FDR as he started the process of getting the gobblement involved in housing

So you do blame FDR then.

Well that's a stretch given FDR had nothing to do with subprime lending, nor did FDR have anything to do with Bush's regulators ceasing the enforcement of lending standards in 2004, 61 years after FDR died.

Blame falls on many. Presidents, Congress, the Fed, banks and the people taking out the loans

No, the blame for the Bush Mortgage Bubble and subsequent crisis falls squarely and solely on Bush and the Conservatives who deliberately inflated a housing bubble in 2004 in order to cover for the failure of their tax cuts to deliver on any of the promises made of them.

 

[Teflon Don]

Partially blame FDR and his congress that put this in motion

This could have never happened if the federal gobblement wasn’t involved in housing

 

[LV426]

That apparently is too complicated for you to wrap your brain around

No, what's clear here is that you want to socialize the blame for the Bush Mortgage Bubble to broadly encompass all your liberal boogeymen because admitting that the Bush Administration deliberately inflated a housing bubble to boost the economy would mean you'd have to admit that the tax cuts of 2001 and 2003 didn't, which means tax cuts as a matter of Conservative economic dogma are shit.

You're not prepared to make that concession because doing so would inevitably unravel a lot of your other core beliefs.

You're simply too fragile.

 

[Nordberg]

LV426 is worse than a blowhard, he's a moron

at some point he needs to realize he supports a party who held a good man like Brett Kavanaugh over the coals for acting like a 16 year old when he was 16, but the same party worshiped a man for years afterward, ted kennedy, that drunkendly drove a girl off a bridge and left her at the bottom of the ocean while he went home and slept it off.

they even built memorials to him after he died never mind voted him into office over and over unchallenged, he was even head of the ethics committee

let that sink in

Brett is no good man. he is a deadhead Trumpy who will rule for the wealthy and corporations. that makes him a perfect fit for the Roberts Court. He was a federalist Society pick like all of Trumps are. Trump knows nothing about the judges except he wants then to follow his orders.

 

[LV426]

But because you have proclaimed that you presented such an airtight case, I submitted your thread to Vox. You should be hearing from the soon

I don't believe you did that any more than I believe you read the 81 page PDF I posted yesterday, that you claimed was 50 pages.

You're a liar because that's all you know how to do.

I've humiliated you and destroyed your dogma. So the best you can do are these impotent little responses that just help me make the point that you're a little bitch.

 

[PostmodernProphet]

The FED didn't guarantee mortgage-backed securities.

The FED didn't even guarantee most subprime lending from 2004-2007.

It took an order by the Bush Administration in 2004 for GSE's to purchase risky subprime loans.

From 2000-2003, they couldn't because Clinton prohibited it in 2000.

You are in over your head.

lol......dude, you are ass deep in your own ignorance.....

 

[LV426]

Apparently she doesn’t understand the concept of moral hazard

In 2000, Clinton barred GSE's from purchasing risky subprime loans.

In 2004, Bush reversed that rule and subprimes went from 10% of all new mortgages in 2003 to 40% of all new mortgages by 2006.

So...your argument is fucked.

 

[LV426]

The bankstas ALWAYS knew the gobblement would bail them out so there was no disincentive for them to act irresponsibly

Well then why did Bush's regulators cease the enforcement of lending standards in 2004?

 

[LV426]

That is why I brought up Canada. The Canadian gobblement doesn’t get involved in home ownership so moral hazard doesn’t come into play. Therefore the bankstas don’t make risky loans

Completely fucking wrong.

Like the United States, Canada backs several types of loans for borrowers.

But unlike the US, Canadian regulators enforce standards, which is why they didn't have a mortgage crisis, but we did.

You don't know what the fuck you're talking about because you are not an intellectual. You're a fraud and a phony baloney.

 

[LV426]

Of course LV the race hustler wants it both ways. She cries about “redlining” and bankstas don’t lend to minorities not because they may be poor credit risks but because of RACISM. So when the bankstas lend to low credit risk borrowers LV complains yet again.

Are you so fucking stupid, you don't think subprime loans exist in Canada?

Well they do.

The difference is that Canadian regulators never ceased the enforcement of lending standards for those loans, but you Conservatives sure did in 2004!

Do you enjoy me wiping the floor with your ass in this debate? Cuz I do.

 

[LV426]

yes......you ignoring Barney Frank's role in preventing control of the sub-prime mortgages.....Sneering at financial reformers before a 2003 House hearing, Frank asserted: "I want to begin by saying that I am glad to consider the legislation, but I do not think we are facing any kind of a crisis. That is, in my view, the two government-sponsored enterprises we are talking about here, Fannie Mae and Freddie Mac, are not in a crisis. ... I do not think at this point there is a problem with a threat to the Treasury."

So...first thing...in 2003, GSE's weren't allowed to purchase risky subprimes because of a HUD rule Clinton put in place in 2000, you stupid asshole:

"(In 2000) HUD restricted Freddie and Fannie, saying it would not credit them for loans they purchased that had abusively high costs or that were granted without regard to the borrower's ability to repay."
https://www.washingtonpost.com/wp-dyn/content/article/2008/06/09/AR2008060902626_2.html

"In 2004, the 2000 rules were dropped and high‐risk loans were again counted toward affordable housing goals."
http://docplayer.net/8921675-Fannie-mae-freddie-mac.html

That HUD rule was removed by Bush in 2004.

Now, you go on to lie that Barney Frank said there were no problems with the GSE's. But that only came after your guy Bush's Treasury Secretary said there were no problems:

THE TREASURY DEPARTMENT'S VIEWS ON THE REGULATION OF GOVERNMENT SPONSORED ENTERPRISES
September 10, 2003

Mr. Frank: Are we in a crisis now with these entities?

Secretary Snow: No, that is a fair characterization, Congressman Frank, of our position. We are not putting this proposal before you because of some concern over some imminent danger to the financial system for housing; far from it.

So there's your guy Bush's Treasury Secretary saying that there was no threat to the system posed by housing in September 2003.

Ouch.

How fucking damaging to your core beliefs to be proven so fucking wrong about everything.

 

[LV426]

Partially blame FDR and his congress that put this in motion

Oh word?

Then by all means, quote the line of text from any legislation that said in 2004, the Republican President George W. Bush could direct his regulators to back off enforcing lending standards on subprime loans, which weren't even invented until decades after FDR died?

I'll wait.