Weyrich: What Caused the Subprime Fiasco?

**Terri** · #1 12-10-2008, 08:43 AM

By Paul M. Weyrich
December 10, 2008

Have you ever heard of the Community Reinvestment Act (CRA)? If not, you should have. It is among the factors responsible for the worst housing crisis in America since 1932. CRA was enacted during the Jimmy Carter presidency. It neither was repealed nor enforced during the Ronald W. Reagan and George H. W. Bush administrations. President William J. Clinton enforced the law vigorously. CRA forced banks to make loans to people who had little or no ability to liquidate them. This created the subprime market which in turn created the housing bubble. That bubble burst, as all bubbles do, leaving us with a terrible housing crisis. If something similar were to occur in the private sector the wrath of Congress soon would be felt.

CRA ought to be repealed. In any reasonable situation it would be. But it won't because too many powerful interests in Washington want to see it continue as they attempt to manipulate society to fit their ideology.

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social-isms · #2 12-10-2008, 10:41 AM

This is precisely the problem with Washington. Nothing has changed. The ability to buy a subprime loan still exists. They have not corrected their mistakes, and mark my words, Frank and Dodd will be pushing these loans on us and the financial institutions again, with no regard to the consequences.

We saw the thread yesterday about how people are re-defaulting on their renegotiated loans.

This was a mistake from the onset. Giving something to someone who did nothing to earn it and cannot sustain it, has been proven time and time again to be an abysmal and abject failure. But the fatcats in D.C. don't seem to operate in the common sense world.

I am not much of a conspiracy theorist. However, I am led to wonder if this was orchestrated in order for the Feds to socialize our financial institutions. It is hard to believe it was just another feel-good program.

jheasler12175 · #3 12-10-2008, 11:17 AM

We, as taxpayers, should let our Congressmen and Women know how we feel with the power of our vote. If your Senator or Representative has been in Congress for more than one term for Senators and two terms for Representatives, my advise is to vote against them in the next election. Incumbency and the sense of privilige that go with it are largely responible for this problem as our elected officials distance themselves from their constituents and become closer to their lobbyists, campaign contributors, and special interests.

makamends · #4 12-10-2008, 01:19 PM

Quote:

If your Senator or Representative has been in Congress for more than one term for Senators and two terms for Representatives, my advise is to vote against them in the next election.

Better to get to know your representative. Support faithful ones with all you've got for as long as you can. I've voted for Sen. Jim Bunning everytime he ran. I'm proud that he still voices for conservatism and find him a comfort.

social-isms · #5 12-10-2008, 01:40 PM

Tomorrow, I am honored to speak at a local Women’s Conservative group here in San Diego. During the luncheon, Duncan Hunter will be passing the congressional torch to his son, who will take office Jan 6th. Both these men have served our country with distinction, and I am hoping his son will continue the record of service set down by his father.

I am also going to suggest Duncan consider the chair of RNC. He is a solid conservative voice and was the only real conservative voice during the primary (maybe Thompson also).

My point is an agreement with MakeAmends. Get to know your congressional representative. Shake his/her hand. Let them know what your expectations are and how you believe they should act on behalf of their constituents and their district.

Write letters, not emails. Call. Voice you opinion. Over the last dozen years, I have fired off many letters to Congressman Hunter. He has responded to each one with a return letter with his inked signature. You would be amazed at how FEW people reach out to their elected officials.

It doesn’t matter which side of the aisle they are on. Get in their face. If we want real change, it’s up to us.

rthom · #6 12-10-2008, 01:55 PM

The Liberal mind suffers from the absolute inability to rid themselves of "...maxims and principles which all experience, and I may add reason too, pronounce to be impracticable and absurd...full of errors which no reasoning could not eradicate....It would be idle to talk to the deaf...." ---George Cabot 1804.

Liberal arrogance, just as that of the Communists of the former Soviet Union, prevents them from acknowledging the bankruptcy of their ideology and insist on putting blame on outside reactionary forces for the failures of their policies.

They continually look to the wisdom of man rather than the Source of true wisdom.

“I should be the veriest shallow and self-conceited blockhead upon the footstool if in my discharge of my duties which are put upon me in this place; I should hope to get along without the wisdom which comes from God and not from men."

Abraham LIncoln. Quoted from the Sacramento Union, Nov. 11, 1864.

RiverKing · #7 12-10-2008, 09:42 PM

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President-elect Barack H. Obama should fire all of them, urge Congress to repeal CRA and dismantle Fannie and Freddie.

PLEASE! Let me know when you think this is about to happen. I'll want to comer the market on snow shovels in hell.

ExAmish Patriot · #8 12-10-2008, 10:19 PM

Quote:

Better to get to know your representative. Support faithful ones with all you've got for as long as you can.

I also have had a Congressman for many years now that I can still support and voted for him a few times now (Dana Rohrabacher) so I agree, lets not throw out the good ones, get to know your Congress Representative.

Just wish I could say the same for the two Senators in our state, they are about as bad as they get, especialy Boxer.

**Charie** · #9 12-11-2008, 12:31 AM

ExAm, it's true you can find gold among the stones in a mud puddle. We have a couple of true blue conservatives in Wisconsin who are reelected time after time in heavily Democratic districts and a RINO who is elected time after time in a moderate Republican district.

It's always difficult to tell what makes voters decide which way to vote.

utexas · #10 12-11-2008, 01:50 AM

Of course very few people know about the CRA and its role in the economic collapse. The Dimocraps and their guardian media wouldn’t have it any other way. They want to continue to falsely blame Bush and the GOP for everything that is wrong with the world, even if it was done by a Dimocrap. Added to the problem is the fact that most of the US is so stupid or disinterested in the facts that they don’t know and don’t care to know, as evidenced by the election of Hussein with all his baggage.