Thursday, September 13, 2012

The Brass Standard

By Thomas Sowell

Politics takes a lot of brass. And Bill Clinton is a master politician. His rousing speech at the Democrats' convention told the delegates that Republicans "want to go back to the same old policies that got us into trouble in the first place." That is world class brass. Bill Clinton's own administration, more than any other, promoted an unsustainable housing boom, which eventually and inevitably led to a housing bust that brought down the whole American economy. Behind all the complex financial processes that reached to Wall Street and beyond, there is one fundamental fact: many people stopped making their mortgage payments.

Why did that happen? Because mortgage loans were made to people who did not meet the long-established qualification standards for getting a mortgage loan. And why did that happen? Because the Clinton administration threatened lawsuits against lenders who did not approve mortgage loans to minority applicants as often as to white applicants.......To Read More

My Take – You may wish to view the article I wrote some time back called, Sub-Prime Pest Control, which actually deals with this issue of the Community Reinvestment Act and red lining.

Well....this is a wrap until Saturday. I won't be posting anything tomorrow....I have a son getting married. Best wishes to one and all. Rich


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