Presidential Wannabe Barack Obama is galavanting around the country telling anyone who will listen that the housing mortgage market collapsed primarily because of “Deregulation” that took place under George W. Bush and Bill Clinton.
The reality is that the housing market collapsed in large part because a coalition of race-baiting bullies brought very heavy pressure to bear on the banks to make more subprime loans on properties in low-income communities. Those who didn’t approve the risky subprime loans were accused of “redlining”–i.e., refusing to make loans on properties in those neighborhoods.
Who were these bullies?
Some of the bullies were out in Washington pounding the tables and screaming at bank executives about “redlining”.
At the same time, other bullies were stalking big city courthouses, filing frivolous and extortinate lawsuits against banks based on novel “disparate impact” theories of what might be held to constitute “redlining.” In other words, even banks which were making lots of loansin low-income communities were being sued if they weren’t approving just as many loans in low-income communities as they were in high-income communities.
Who were these mortgage extortionists?
Ragnar Danneskjold, Typical Bitter Gun-Clinger at the Jawa Report v3.0 has the rest of this fascinating story that outlines Obama’s role in this debacle and you can bet dollars to bagels that this story will never be reported by the Obamabots over at MSNBC.