"The mortgage crisis began when Democrats forced banks and mortgage companies with the threat of "discrimination" claims to make loans to people who could not qualify or afford homes and as a result mortgage companies were forced to ignore the usual qualifying terms. The Democrats actually "regulated" the free markets and as a result the free market was no longer "free" but "bridled" with a cram down on mortgages to those who could not otherwise qualify. Lets get the facts straight."
That's a quote from someone who replied to Central Dallas Ministries' CEO and President, Larry James' blog post yesterday.
It's something I've seen time after time: national disaster strikes, poor people are threatened or suffer - think Katrina, think the public education crisis, think this current economic crisis. The crisis is going to cost money. Lots of it. It doesn't take long before someone figures out that public policy aimed at helping low income families and the poor is to blame. Or we should blame the poor themselves!
Is this economic collapse the fault of people making $25,000-$30,000 trying to get $500,000-$800,000 homes? Is that the reason we're where we are? Is it really because there was legislation that forced banks to stop 'redlining' poor neighborhoods so that businesses could get loans, car loans could be more accessible?
Do you believe that? Do you believe that reason we are in this situation is because we didn't wait long enough for trickle-down economics to really work?
Please, I would really like to hear from you on this one!
By the way: Congresses' failure to pass the $700 billion rescue package, cost the country $1.2 trillion on Wall Street. Guess that's what we get for sending the poor to D.C.!