Multiple times I've described how the mortgage crisis and resulting recession was caused by irresponsible actions in congress and at Fannie and Freddie. But liberal arguments persist that the 'cause' was financial shennigans. Yes, irresponsible people in the financial industry made lots of money off the irrespsonsible mismanagement of and deregulation of the mortgage industry.
However, it was congress that enacted laws and rules that not only encouraged people to buy unaffordable mortgages but made it possible for banks to ignore borrowers' lack of qualifications by allowing Freddie and Fannie to back up loans with taxpayers' money. Congress removed all risk to lenders who chose to loan money to unqualified borrower. Remove a lender's risk to lend money and guess what they do? Lend money irresponsibility because it looks like any consequences of making bad loans won't fall on them! DUH!
That unscrupulous fat-cat financial wizzards found a way to make money off this deregulation nonsense and impending national misery is no surprise but that was an outgrowth of a problem (created by congress) and was NOT the cause of it. Here's another article describing what really happened, contrary to what you read in The Media and hear from liberals:
http://www.nationalreview.com/articles/270366/real-culprits-mona-charen
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