2012-08-19ritholtz.com

``There are five unpleasant realities facing banks which make them easy targets for activist and governmental extortion. First, historically people dislike lenders, a feeling that has intensified since the 2008 financial crisis. Banks are held solely responsible for the crisis. If accused, banks are guilty even if proven innocent. Regarding the 2008 crisis, the contributory role of Chairman Greenspan's Federal Reserve, which fed the housing bubble with super low interest rates, is too complicated for the public to understand. The same goes for Fannie and Freddie, the two mortgage monsters which bought or guaranteed so many of the junk mortgages that were written. Forgotten also is the disgraceful role of the Fannie/Freddie Congressional supporters including Barney Frank and Chris Dodd.''


Lijit Search

Comments: Be the first to add a comment

add a comment | go to forum thread