Monday, February 28, 2011
I really ought to get out and see more movies.
Labels: Oscar Picks/Results
Bravo. You nailed the important ones. Had you done better on the other 14, I would worry about you.
Your assertion that the banks wouldn't have done this if not for the government's pressure from the CRA is absolutely wrong. A report found that only a quarter of the sub prime mortgages made during the bubble fell under the CRA. And not only that, those tended to do better than the non-CRA ones. But that means 75% of what happened during that time wasn't because of the CRA. The banks did it anyway, because there were ridiculous short term profits to be made, not because the government made them. And most of the predatory lending practices happened within that 75%, also a bad thing. So this idea that the banks were just making lemonade from lemons is wrong, and they're accountable. Any reforms to be made in the future need to start there.