On 8/19/2012 9:10 PM, wrote:

It's only not believable to you because of your ignorance of the
subject. You need to do some research on what a CDO is,

What makes you think that I do not know what a Collateralized debt
obligation is? And how does that relate to your rant about
Republicans. You need some proof that the Republicans were those it
fault. And that will be hard to do.

It's a breeze to learn the republicans did not believe in regulating the
financial industry and so they didn't. The control over our banking
system was totally lax the entire time that Bush was in the White House.
It's like saying if Gore had been president there would not have been an
Iraq War. It's the same with Bush becoming president. Once that happened
no control of the banks was sure to follow, and it did. That's why it's
the republican's fault. The handed the responsibility of our financial
system over to the banks, and you saw what happened.



I remember too much about
Barney Frank and Chris Dodd to believe it was not at least equally the
Democrats fault.

That's very convenient for you of course. But it is patently not true
because it assumes that the goals of the republicans and the Democrats
are the same. I can assure you they are not. Democrats were out to
regulate the banks and keep them under control. The republicans were out
to deregulate them and let the market itself control how things turn
out. We know which side got their way.


Probably more the Democrats than the Republicans.
Who took the special loan from Countrywide? i will refresh your
memory. It was Chris Dodd, Democrat from Conn. See
http://www.fireandreamitchell.com/la...odd-countrywid
for the Countrywide and other scandals.

Irrelevant. I know all about Dodd getting a better loan rate from
Countrywide because of who he was. That happens all the time. It had
nothing to do with the republicans not controlling the banks.



and how a CDO
that is full of nothing but Triple B rated bonds becomes a CDO that has
a Triple A rating. If you understood how the rating agencies decided how
to rate those things you might know.

Actually I know enough math that I understand how a CDO that is
comprised of triple B rated bonds gets a higher rating than triple B.
Do you understand that?

That's exactly how I know that you don't know what you are talking about
because math has nothing to do with how the agencies rated things.
Actually it was done with smoke and mirrors. The fact is a CDO filled
with Triple B bonds should be rated as one with Triple B bonds not as a
Triple A. That's fraud. That's what they were doing. They rated things
as Triple A that by no one's standards were triple A grade investments.
That's the whole point. No amount of math can make a silk purse out of a
sow's ear.



If you knew how the Wall Street
banks tricked the agencies into rating investment vehicles filled with
worthless mortgages into first class rated investment vehicles then you
would know how it worked. But you don't know how any of those things
were done in the financial industry. I could tell you but you don't
believe anything so I won't waste my time on informing you. FYI it's
things like this that make me believe you are not well informed when it
comes to this subject.

And by what you said above. You clearly don't know the relationship
between Wall Street and the rating agencies. You don't know the
influence the banks has on the rating agencies or how they do business.



You think I do not know about finance, but what I was pointing out was
your stupid statement saying it was all the Republicans fault. the
only problem with that is that I know too much about finance.

I'm not saying that there wasn't some part played by Democrats. They
were not angels in this either. But when one side is preponderantly
wrong then I tend to not bother with the minor player. There's always
some Democrats involved in wrongdoing. Both sides usually cooperate in
doing the wrong thing. But that doesn't take the lion's share of the
blame from the republicans.



I just this afternoon watched Kristen Grind on Book TV talking about
Washington Mutual and how it went under, and why. Her book is called The
Lost Bank. She explained how Washington Mutual went from a S&L to the
largest bank to default in the country. Her answer was that it was WAMU
that did it by itself when it went into the subprime market. All the
banks did this because the subprime loans made them a lot more money
than regular loans did. That's why all the banks wanted more of them.
They made a lot of money off them. You should try learning about the
crisis, it's very interesting. It also would help you understand that
what I'm telling you is exactly what the experts are saying. Why not?
That's where I get my information.


So how does a statement the WaMu did it to them selves match up with
your blame of the Republcians.

Because no one was watching the store. All this stupid and overly risky
behavior was done by the banks themselves. The government agencies that
should have been on top of this and done something about it did nothing.
When the party in power believes it's role is to allow business to be
free to do anything it wants you have to hold it responsible when things
blow up. Both them and the financial institutions. Both were to blame.
But the republicans gave the industry the chance to blow itself up
instead of keeping it under control.



I am well aware of what happened to
WaMu. WaMu was a Washington State bank, and I owed a little of WaMu
stock as well as having a WaMu bank account. And about ten years
earlier I borrowed some money from WaMu.

I had a checking account with them too and liked that bank. In the early
days it was a very good bank. But it changed. The changes caused it to
blow up. Getting heavily involved in subprime is what did them in.


I seriously doubt that any experts said that the Republicans were the
only ones in Congress that were at fault. Just a reminder Chris Dodd
is no longer a Senator. And Barney Frank suddenly retired. Want to
know why?


I guess your habit of not watching TV is to blame here. Because it seems
you have not seen what Dodd and Frank look like these days. They are
OLD! Dodd has all white hair and is in his late 60s. Frank is old too
and has been in congress a very long time. His district was changed
because of redistricting. He would have had to campaign in an area he
had never been in so he thought it was time to hang it up. It had
nothing to do with anything else.

Hawke