We have seen the left manipulate the definition of things in the past leading us to great social and financial peril. You don't have to look too far back into her history to see the damage that this can cause long-term. One such incident only took 25 years to metastasize. I am of course referring to the community reinvestment act of 1977. As with most battles fought by the left this battle started off slow and gain momentum as it went. It started off the nine, the kind of cause everybody could get behind. But hidden beneath the veil was lurking the worst kind of reverse discrimination. The banking and lending industry through law through and regulation overtime were forced to lend money to previously unqualified people. So throughout the 90s in the early 2000's there was a housing market boom. The number of people purchasing homes was shooting through the roof because people were being given loans whether they can afford them or not. Why is this a problem you might ask? Well I'll tell you because now there was an artificial propping up of an industry. That's what makes these "bubbles burst"in the first place. If the bubble was an artificial the bubble wouldn't burst. Government officials however don't want to appear as though they condone discrimination of any group. So they write law like this and redefine words to push an agenda. So in this case what happened? What made the bubble burst? Well once the federal government told banking industries they had to ignore things like marital status income payment history and legal status of residency they swung the door wide open for unqualified people to get home loans that they couldn't afford. The guilt for this falls directly on the shoulders of Congress not the banking industry that had been sued and several instances for not providing these funds. This action in the lending industry massively increased the number of potential buyers in the housing market which "lessened the supply" thereby and acting the other rule of supply-side economics. The demand goes up the prices go up. The same thing is been done over time with our education system. So the price of homes went up because the demand for them went up and the government backing these mortgages and these federal loans through the banks allowed for the escalation to continue. Until you had a $110,000 home being sold in Southern California for $350,000. All of this was being done artificially there wasn't an increase in value to the tune of $240,000. Once this problem was identified the market started to crumble. This is not a failure of the right or free market capitalism. This is a failure of the cronyism elite and the social justice meddling left. We can't let the left rewrite history.
DONT FORGET STAY RIGHT Doug Coon |
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