From: "Caesar Romano"
Subject: The World Stock Market has CRASHED.
Date: Friday, October 10, 2008 9:08 AM

On Fri, 10 Oct 2008 06:53:34 -0500, "HeyBub"
wrote Re The World Stock Market has CRASHED.:

It was the Community Development Act of 1977 (Carter) and the new
regulations imposed on lending institutions in 1995 (Clinton) that opened
up
the sub-prime market. These regulations mandated that loans be made without
regard to credit history, employment, ability to repay, etc. Further,
institutions that did not have a significant presence in "underserved"
communities would be sanctioned. These regulations were imposed in
furtherance of the belief that "everyone should own a home."
IF YOU WANT PEOPLE TO BELIEVE
THEN POST EXERTS FROM THE RULE

When borrowers reached their balloon payment, they (or the morgtage
holders)
simply sold the home for its inflated price. Eventually this Ponzi scheme
collapsed when the housing market caught up with the number of otherwise
ineligible people - the supply of homes exceeded the demand.

Once again, perhaps more spectacularly than other endeavors like
homlessness
and education, we see a societal failure directly attributable to an
up-stream liberal program.

Bush had nothing to do with creating the problem, although he could have
said something about it.

Good post.