This is what Obama begged for, after he played a major role in creating it:<quoted text>
The Republicans know all about selling out our country, don't they? G.W continued to deregulate, sending much of our manufacturing overseas and allowed immigration for cheap labor. Romney boasted that he would bring back businesses to America, yet he caters to China. Old Republicans and old policies. Romney wouldn't have been much different. It has to change or this country is finished. Obama was handed the proverbial sh*t sandwich. I can only hope Republicans work WITH him and not against. America can't afford this bi-partisanship crapola and indifferences any longer. Obama needs to stand his ground and Republicans have to understand our country as it really is - right now; not as it was decades ago. It's not the same anymore, nor will it be again. I wish Obama all the luck in the world and that goes for any future president - Democrat or Republican.
The Government-Created Subprime Mortgage Meltdown
by Thomas J. DiLorenzo
The thousands of mortgage defaults and foreclosures in the "subprime" housing market (i.e., mortgage holders with poor credit ratings) is the direct result of thirty years of government policy that has forced banks to make bad loans to un-creditworthy borrowers. The policy in question is the 1977 Community Reinvestment Act (CRA), which compels banks to make loans to low-income borrowers and in what the supporters of the Act call "communities of color" that they might not otherwise make based on purely economic criteria.
The original lobbyists for the CRA were the hardcore leftists who supported the Carter administration and were often rewarded for their support with government grants and programs like the CRA that they benefited from. These included various "neighborhood organizations," as they like to call themselves, such as "ACORN" (Association of Community Organizations for Reform Now). These organizations claim that over $1 trillion in CRA loans have been made, although no one seems to know the magnitude with much certainty. A U.S. Senate Banking Committee staffer told me about ten years ago that at least $100 billion in such loans had been made in the first twenty years of the Act.
So-called "community groups" like ACORN benefit themselves from the CRA through a process that sounds like legalized extortion. The CRA is enforced by four federal government bureaucracies: the Fed, the Comptroller of the Currency, the Office of Thrift Supervision, and the Federal Deposit Insurance Corporation. The law is set up so that any bank merger, branch expansion, or new branch creation can be postponed or prohibited by any of these four bureaucracies if a CRA "protest" is issued by a "community group." This can cost banks great sums of money, and the "community groups" understand this perfectly well. It is their leverage. They use this leverage to get the banks to give them millions of dollars as well as promising to make a certain amount of bad loans in their communities.