2009, 2010, 2011 - worst years on record for business formation in decades

[2Thick]

I believe early legislation can be traced back as far as '82 when interest rates and inflation were at historic highs. So you can go ahead and blame Ronald Regan.

Now we've got this Dodd-Frank crap. And did you hear about the AG extorting JPM for $ to give to additional low income / EO lending orgs?... All because of the surprises WaMu had on the books when JPM bought them out.

completely wrong but I know that's a popular right wing talking point

[Straw Man]

How is that wrong.....Clinton pushed those banks to make loans more available to people who would never otherwise qualify. That led to the bubble years later. When one thing got out of wack...natural greed based on deregulation took over. Bush had very little to do with it. The fall was predicted by a lot in the Bush admin and nobody on either side did anything in Congress. 

no he didn't (I assume you're referring to CRA loans which existed for decades and were promoted by every administration).  
CRA loans didn't create the asset bubble or the collapse of the credit markets

The asset bubble was created by the creation of Alt-A and subprime loans which in and of themselves were not necessarily a bad thing.  
The bad thing was that Wall Street realized they could make money by putting together pools of loans that were designed to fail so that they could cash in on the credit default swaps.   The key point is that these pools of loans could not be put together without a willing buyer for the worst tranche in the pool.   That

None of this could have happened without the Commodity Futures Modernization Act of 2000
http://en.wikipedia.org/wiki/Commodity_Futures_Modernization_Act_of_2000

Here is a quick slide show to explain the process
http://www.propublica.org/special/the-anatomy-of-the-magnetar-trade#http://propublica.org/projects/hedge_fund/graphics/slideshow/finalslides_040910-01.png

This is what created the asset bubble and the "toxic" pools of mortgages which is what caused not only the near collapse of the credit markets but the crash in real estate

[Soul Crusher]

http://freebeacon.com/issues/economy-not-keeping-up-with-population-growth

no he didn't (I assume you're referring to CRA loans which existed for decades and were promoted by every administration).  
CRA loans didn't create the asset bubble or the collapse of the credit markets

The asset bubble was created by the creation of Alt-A and subprime loans which in and of themselves were not necessarily a bad thing.  
The bad thing was that Wall Street realized they could make money by putting together pools of loans that were designed to fail so that they could cash in on the credit default swaps.   The key point is that these pools of loans could not be put together without a willing buyer for the worst tranche in the pool.   That

None of this could have happened without the Commodity Futures Modernization Act of 2000
http://en.wikipedia.org/wiki/Commodity_Futures_Modernization_Act_of_2000

Here is a quick slide show to explain the process
http://www.propublica.org/special/the-anatomy-of-the-magnetar-trade#http://propublica.org/projects/hedge_fund/graphics/slideshow/finalslides_040910-01.png

This is what created the asset bubble and the "toxic" pools of mortgages which is what caused not only the near collapse of the credit markets but the crash in real estate

[whork]

no he didn't (I assume you're referring to CRA loans which existed for decades and were promoted by every administration).  
CRA loans didn't create the asset bubble or the collapse of the credit markets

The asset bubble was created by the creation of Alt-A and subprime loans which in and of themselves were not necessarily a bad thing.  
The bad thing was that Wall Street realized they could make money by putting together pools of loans that were designed to fail so that they could cash in on the credit default swaps.   The key point is that these pools of loans could not be put together without a willing buyer for the worst tranche in the pool.   That

None of this could have happened without the Commodity Futures Modernization Act of 2000
http://en.wikipedia.org/wiki/Commodity_Futures_Modernization_Act_of_2000

Here is a quick slide show to explain the process
http://www.propublica.org/special/the-anatomy-of-the-magnetar-trade#http://propublica.org/projects/hedge_fund/graphics/slideshow/finalslides_040910-01.png

This is what created the asset bubble and the "toxic" pools of mortgages which is what caused not only the near collapse of the credit markets but the crash in real estate

Anybody want to comment on this?

[Necrosis]

Anybody want to comment on this?

sure, it's correct.

[Kazan]

Ah the good old CRA, thanks Jimmy Carter, the gift that keeps on giving.....

[Straw Man]

Ah the good old CRA, thanks Jimmy Carter, the gift that keeps on giving.....

CRA loans existed long before the meltdown in the global credit markets and......CRA loans still exist today

Do you know what doesn't exist now....Sub Prime and Alt-A loans (though some lenders are dipping their toes back into that market)

Do you know why we had to bail out AIG (it has to do with those pools of loans that were designed to fail)

When you create pools of loans that are designed to fail and then you sell securities against those loans as "A Paper" you make it impossible to accurately put a value on those securities and then you have banks, pension funds, etc... who can't properly determine the value of a security on their balance sheet and your global credit system seizes up

Remember the original concept of TARP (Trouble Asset Relief Program) was to buy up those securities to get them off the banks balance sheet

BTW - when they dreamed up TARP I used to tell my friends that my bank account wasn't yet "troubled" but it was definitely feeling a bit melancholy

[Soul Crusher]

CRA loans existed long before the meltdown in the global credit markets and......CRA loans still exist today

Do you know what doesn't exist now....Sub Prime and Alt-A loans (though some lenders are dipping their toes back into that market)

Do you know why we had to bail out AIG (it has to do with those pools of loans that were designed to fail)

When you create pools of loans that are designed to fail and then you sell securities against those loans as "A Paper" you make it impossible to accurately put a value on those securities and then you have banks, pension funds, etc... who can't properly determine the value of a security on their balance sheet and your global credit system seizes up

Remember the original concept of TARP (Trouble Asset Relief Program) was to buy up those securities to get them off the banks balance sheet

BTW - when they dreamed up TARP I used to tell my friends that my bank account wasn't yet "troubled" but it was definitely feeling a bit melancholy

Clinton signed Gramm Leech bill that deregulated the derivatives market remember?   


Of course you do - but wont admit it

[Straw Man]

Clinton signed Gramm Leech bill that deregulated the derivatives market remember?   


Of course you do - but wont admit it

dude - just stop responding to my posts because you clearly don't even read them

I've never said it was all Bush's fault (though of course everything that's happened since then is all Obama's fault)

The asset bubble in real estate was created by de-regulation of commodity and banking which both parties were complicit in doing

The idiotic premise of this thread seems to be that Obama should have pressed the magical re-set button when he got into office rather than the actual reality of slowing recovering from an economic shit storm (and getting absolutely no cooperation from Repubs in doing so)

This topic has been covered ad nauseam on this board over the last six years