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You completely missed the point didn't you? You missed where Frank said
"But you're not going to see the collapse that you see when people talk about a bubble and so those of us on our committee in particular will continue to push for home ownership."
Frank said there was nothing to worry about, there was no housing bubble, there would be no burst, so he and others had no problem "pushing for home ownership". You act as if the toxic assets plaguing our economy had nothing to do with pushing bad loan, which were then bundled and passed along.
Nobody in the financial institutions were speaking about a housing bubble...
Fannie and Freddie were involved in extending homeownership.. Barney Frank and his committee were advocating accessibility to home loans for lower income families... What the private sector did in managing and making those loans available to low income families is where the problem is.. Interest only loans, ARM's, etc.. they were used as tactics to sustain the already happening bubble that NOBODY knew about or wanted to consider...
When housing prices priced themselves out of the the affordability range of most americans... these financial institutuions came up with predatory lending schemes that sounded good and affordable in the short term.. but had drastic concerns in the long term..
someone making 50K per year.. and being approved for a 400K house... you can creatively finance that sucker so that your payment is 1400 for the first 3 years.. but it certainly doesn't mean that it's paying anything towards the principle... or that a person making 50k per year should be out buying a house for 400k..
Fact of the matter is.. Every entity.. government or private that was involved in the mortgage mess suffered.. that does not mean that fannie and freddie were setting the standard for all of this to happen and promoting it..
It was greed and gambling of the entire industry... that there was someone out there that could afford to buy their 400K property for 450k in 3 years before the ARM adjusts.. It went on like that for almost the whole decade.. and this housing bubble started WAY before 2005 people...
To blame barney frank for it all is political and you know it... and if you don't know it.. you're drinking koolaide and not paying attention...
I like how people play the "he won the Nobel prize card". Austrian economists won it as well, back when it meant something.
Which are you claiming besides Hayek, given that the Austrian claim to even him would be tenuous? Maybe folks should face up the fact that today's so-called Austrian School basically consists of a couple of hundred folks out of tens of thousands of professional economists who serve as a paid front for the usual group of hard core, ultra-rightwing capitalists. Without their financial backing, the whole kit and kaboodle of the Austrian School would simply cease to exist...
Ignore is your friend. You can't take someone seriously who claims that only the best and brightest minds work for government.
Actually, you have to, unless you can come up with some demonstrable forms of refutation. The right-wingers here are persistently apt to come up short on that particular score...
Yes, Frank was wrong, as were many people. What I keep hearing is that Frank "blocked reform." How did Frank block reform? Can someone please answer that simple question? Giving a speech is not "blocking reform." How could Frank block anything when Republicans were in control of the House?
Not to mention that the bill passed the house...It also passed committee, it was never brought to the floor for a vote..So where is Bill Frist and Senator Shelby in this discussion?
So let me ask you...are the speculators the reason why we have so many foreclosures on the market today??
Foreclosures on the market today have long since left the original problems behind. More and more, it's John & Jane Responsible who are taking the hit because declining home values have left them upside-down or one or both of them have lost their jobs and very probably their savings. That's what an Ownership Society will do to you. Not that pleasant a thing when you stop and think about it...
The bottom line is that both parties failed, and we're all paying for it.
Since it happened, it is evident that neither party was able to prevent it. That hardly works out, however, to an equality of responsibility in the matter of having helped to bring it about...
Barney Frank is the Chairman of the House Financial Services Committee which oversees all components of the nation’s housing and financial services sectors including banking, insurance, real estate, public and assisted housing, and securities. Chris Dodd is the Chairman of the Senate Committee on Banking, Housing and Urban Affairs. If you're completely unable to see any culpability on the part of any Democrat, then you've exposed yourself as blindly partisan and lacking any credibility.
Barney Frank is the Chairman of the House Financial Services Committee which oversees all components of the nation’s housing and financial services sectors including banking, insurance, real estate, public and assisted housing, and securities. Chris Dodd is the Chairman of the Senate Committee on Banking, Housing and Urban Affairs. If you're completely unable to see any culpability on the part of any Democrat, then you've exposed yourself as blindly partisan and lacking any credibility.
they oversee them as far as the government is concerned... exactly.. and where do they get their information from?? industry insiders...
These institutions report to the house financial services committee.. and there is none of these institutions that addressed proper concerns to the committee when they should have... because they were under the impression they were good as gold... banking on that it wasn't a bubble and people wouldn't be defaulting on their creatively financed homes...
so instead.. the committee gets blind sided when all these notes start going bad, and then almost overnight strong healthy institutions are needing public assistance.. and then you want to sit and say it's all the committee's fault?
HA!
I certainly feel that there is blame to go to chris dodd and barney frank for not promoting tighter regulations and looking into things more...while bush might have called for tighter regulation.. in 2005.. republicans were in control of the house and senate.. and most certainly were not of any benefit for regulating the private sector let alone the financial industry...
to say barney and chris called the shots on the entire industry is a bit absurd...nice try.. but I'm not going to buy that...
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