This is exactly what lead up to the 2008 crisis. Like, exactly. In the 90s when wage growth was low one of the mechanisms for addressing it was to simply give e

This is exactly what lead up to the 2008 crisis. Like, exactly. In the 90s when wage growth was low one of the mechanisms for addressing it was to simply give everybody access to mortgages they couldn’t really afford. By 2008, most banks were levered by more than 30:1. The key result of Dodd-Frank was that it gave the Fed power to influence how leveraged banks were, and now most of them are levered at about 10:1. Changing this would remove the key element of protection against another crisis occurring.