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> This is all happening because Obama didn't have the balls to just let the shoddy banks crash and burn, and we continued QE for around a decade to alleviate bl
by MaysonL 4y ago
> This is all happening because Obama didn't have the balls to just let the shoddy banks crash and burn, and we continued QE for around a decade to alleviate blowback from 2008. This, combined with other factors (a lax policy w.r.t. foreign investments in real estate), will screw us in the long run.
It also happened because most of the FBI agents who worked on white-collar fraud prior to 9/11 were reassigned to counter-terrorism work afterwards, and so the rampant fraudulent appraisals and mortgages prior to the housing crash were never investigated, let alone prosecuted.
Contrast 2008 with the reaction to the S & L debacle.
- maybelsyrup 4y agoThis is an interesting take that I’ve never really heard before. It makes intuitive sense, but do you have anything more in depth to read on it? Book or article or longer version of the argument, or a history of some kind? Very curious, thanks.
- CtrlAltT5wpm 4y agoNot the original poster, but the book "The Best Way to Rob a Bank is to Own One" by William K. Black (former bank regulator during the S&L crisis) might shed some light onto the S&L crisis, if not 2008's comparative response, though not directly.
- MaysonL 4y agoCheck out the Calculated Risk blog, where I learned almost everything I know about the events leading up to the Great Financial Crisis, and the GFC itself.
- dclowd9901 4y agoWhat the… dude, the bank bailouts of 2008 were signed by bush and co. And (as a dem) were absolutely necessary. Obama, if anything, just kept the machinery moving.