[clue-talk] The stimulus bill

[Collins Richey]

On Fri, Feb 6, 2009 at 7:23 PM, Angelo Bertolli
<angelo.bertolli at gmail.com> wrote:

> Subsidizing mortgages not withstanding, I think you'd at least agree that
> the mortgage crisis we're in right now has way more to do with banks/loan
> officers/whoever not doing their risk assessment "properly."  Unless you
> mean that our attitudes about houses and the culture created by our laws
> gave the banks the feeling that they could get away with it.
>

You missed Jed's point entirely. It's not a matter of the banks
feeling that they could get away with it. They were actively
encouraged (if not required) to ignore the ability to pay back loans
by Freddie and Fannie and the Barney Frank types in Congress. The
"proper" risk assessment was the desire to get a loan, not the ability
to pay back the loan.

-- 
Collins Richey
     If you fill your heart with regrets of yesterday and the worries
     of tomorrow, you have no today to be thankful for.