No Fault?
How can Democrats continue to deny their role in the current banking and housing crises? This problem goes all the way back to Carter, the worst president in the last hundred years (emphasis mine):
To hear today’s Democrats, you’d think all this started in the last couple years. But the crisis began much earlier. The Carter-era Community Reinvestment Act forced banks to lend to uncreditworthy borrowers, mostly in minority areas.
Age-old standards of banking prudence got thrown out the window. In their place came harsh new regulations requiring banks not only to lend to uncreditworthy borrowers, but to do so on the basis of race.
Clinton made things worse by pretty much painting any bank without a diverse clientele as racist. Bush warned of problems back in 2003 and McCain also called for reforms, but the Democrats refused to act. Barney Frank is even quoted as saying “These two entities – Fannie Mae and Freddie Mac – are not facing any kind of financial crisis.” Wrong. This short-sightedness is a real problem for Democrats, who, back in the 90s, refused to open up drilling because we weren’t in a energy crisis back then.
The banks certainly must take some of the blame, but the Democrats cannot claim to be faultless.
