New housing crisis, old isms
In These Times
by David Sirota
03/24/08
The Federal Reserve Bank’s decision last week to address the housing crisis by extending $200 billion of taxpayer-financed credit to Wall Street banks was met with a stunned reaction typical of surprising events. But really, the move was the expression of longstanding isms that routinely package corruption as sound public policy. Some background: During the housing boom, banks doled out home loans to financially strapped borrowers, often on predatory terms. On the creditor side, these same banks packaged many of the loans as complex securities and sold them off to unwitting investors, generating a handsome profit on the paper transactions. At the same time, Wall Street used campaign contributions to coerce Congress into blocking anti-predatory-lending bills and repealing a landmark law regulating how banks could buy and sell securities...
http://tinyurl.com/2tkxry
Informant: Thomas L. Knapp
http://freepage.twoday.net/search?q=Federal+Reserve+Bank
http://freepage.twoday.net/search?q=housing
http://freepage.twoday.net/search?q=David+Sirota
by David Sirota
03/24/08
The Federal Reserve Bank’s decision last week to address the housing crisis by extending $200 billion of taxpayer-financed credit to Wall Street banks was met with a stunned reaction typical of surprising events. But really, the move was the expression of longstanding isms that routinely package corruption as sound public policy. Some background: During the housing boom, banks doled out home loans to financially strapped borrowers, often on predatory terms. On the creditor side, these same banks packaged many of the loans as complex securities and sold them off to unwitting investors, generating a handsome profit on the paper transactions. At the same time, Wall Street used campaign contributions to coerce Congress into blocking anti-predatory-lending bills and repealing a landmark law regulating how banks could buy and sell securities...
http://tinyurl.com/2tkxry
Informant: Thomas L. Knapp
http://freepage.twoday.net/search?q=Federal+Reserve+Bank
http://freepage.twoday.net/search?q=housing
http://freepage.twoday.net/search?q=David+Sirota
rudkla - 25. Mär, 10:17
