Wednesday, October 01, 2008

Not in the New York Times

Not that we don't already know this. We're smart here...

But it's always nice to have one's brilliance confirmed.

From American Enterprise Institute: Deregulation Not to Blame for Financial Woes

"The Democrats are wrong in claiming that financial services deregulation is to blame for the current financial crisis--if anything, the financial sector has seen increased regulation since the savings and loan collapse in the 1980s. The lax supervision of Fannie Mae and Freddie Mac, which Republicans sought to strengthen in 2005, is the true culprit of this financial crisis.

... The subprime and other junk mortgages that Fannie and Freddie bought--and the market in these mortgages that their buying spawned--are the underlying cause of the financial crisis. These are the mortgages that the Treasury Department is asking for congressional authority to buy. If the Democrats had allowed the Fannie and Freddie reform legislation to become law in 2005, the entire financial crisis might have been avoided.

Policies that center on deregulation are probably hard for the voting public to grasp, and that has allowed Democratic candidates to spread the idea that there is a connection between deregulation and the current crisis. But an Obama victory, based in part on the claim that deregulation has caused the financial crisis, will create a mandate for new regulation where it isn't necessary and will do harm to our economy." [emphasis TG]


Try to find these demonstrable facts in a report by a Big Media Propaganda Puppet. I dare you.

The Gunslinger

No comments:

Post a Comment