Follow along with the video below to see how to install our site as a web app on your home screen.
Note: This feature may not be available in some browsers.
Normal
the facts are that it was deregulation, that allowed commercial banks and investment banks to merge, this merger led to the creation of financial products that made the issuing of loans to people who couldnt afford them PROFITABLE, as the large investment banks were able to bundle these loans, sell them, offset their books, pay their own regulators to give them triple A ratings, and thus scam the system and puncture holes in Capitalism itself.The CRA did not FORCE banks to give loans to people who couldn't pay them. The Profitability of those loans provided the motivation to give as many of them as possible.Profit motivationIm not saying that bad loans wasn't a MAJOR factor in the collapse, it certainly was one of 3 major factors. But the rhetoric that it was this sides fault, because of this one thing... .... frankly, its just stupid. Big problems, have big causes. Trying to sum them up on the one thing you can use to attack your political enemy is a sign of intellectual weakness.
the facts are that it was deregulation, that allowed commercial banks and investment banks to merge, this merger led to the creation of financial products that made the issuing of loans to people who couldnt afford them PROFITABLE, as the large investment banks were able to bundle these loans, sell them, offset their books, pay their own regulators to give them triple A ratings, and thus scam the system and puncture holes in Capitalism itself.
The CRA did not FORCE banks to give loans to people who couldn't pay them. The Profitability of those loans provided the motivation to give as many of them as possible.
Profit motivation
Im not saying that bad loans wasn't a MAJOR factor in the collapse, it certainly was one of 3 major factors. But the rhetoric that it was this sides fault, because of this one thing... .... frankly, its just stupid. Big problems, have big causes. Trying to sum them up on the one thing you can use to attack your political enemy is a sign of intellectual weakness.
