tag:blogger.com,1999:blog-3998745303301654834.post6249602213109682508..comments2023-08-11T12:15:27.337-04:00Comments on The Progressive Curmudgeon®: Paulson, Bernanke, Try Hustling CongressCharley James - The Progressive Curmudgeonhttp://www.blogger.com/profile/14584026728704830831noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-3998745303301654834.post-89971591261710210992008-09-25T15:27:00.000-04:002008-09-25T15:27:00.000-04:00First, mortgage lenders created the "sub-prime" ma...First, mortgage lenders created the "sub-prime" market and then went out looking for people not qualified for a regular mortgage. Then Wall St. concocted incredibly complicated financial instruments to enable lenders - who knew they didn't want to carry the risk of the risky mortgages - to sell them off. Finally, they were bundled together with better-quality mortgages, credit card debt, whatever, and sold on to somebody else.<BR/><BR/>Had the housing boom - created partly by slezy lenders and mortgage brokers looking for suckers to take out the loans - not collapsed, this Ponzi scheme would have continued.<BR/><BR/>The borrowers may have been foolish, pooly informed, maybe even greedy. But they were fraudulently led into buying homes they couldn't afford once the mortgage recycled. And because so many unqualified buyers were in the market, the boom was created. Once they defaulted, the housing market bubble had to collapse.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-3998745303301654834.post-78914191883249264262008-09-23T16:28:00.000-04:002008-09-23T16:28:00.000-04:00I'm loving the fact that much of the media is layi...I'm loving the fact that much of the media is laying the blame on those who were helped by Bush's ownership society plan, that is, lower income and people of color. We're in this mess because poor people can't afford their homes. There really is a class war going on here.Anonymousnoreply@blogger.com