How The Democrats Created The Financial Crisis

Change? Hope? They should be in jail.

Turning Point

Take away Fannie and Freddie, or regulate them more wisely, and it's hard to imagine how these highly liquid markets would ever have emerged. This whole mess would never have happened.

It is easy to identify the historical turning point that marked the beginning of the end.

Back in 2005, Fannie and Freddie were, after years of dominating Washington, on the ropes. They were enmeshed in accounting scandals that led to turnover at the top. At one telling moment in late 2004, captured in an article by my American Enterprise Institute colleague Peter Wallison, the Securities and Exchange Comiission's chief accountant told disgraced Fannie Mae chief Franklin Raines that Fannie's position on the relevant accounting issue was not even ``on the page'' of allowable interpretations.


What happened next was extraordinary. For the first time in history, a serious Fannie and Freddie reform bill was passed by the Senate Banking Committee. The bill gave a regulator power to crack down, and would have required the companies to eliminate their investments in risky assets.

Different World

If that bill had become law, then the world today would be different. In 2005, 2006 and 2007, a blizzard of terrible mortgage paper fluttered out of the Fannie and Freddie clouds, burying many of our oldest and most venerable institutions. Without their checkbooks keeping the market liquid and buying up excess supply, the market would likely have not existed.

But the bill didn't become law, for a simple reason: Democrats opposed it on a party-line vote in the committee, signaling that this would be a partisan issue. Republicans, tied in knots by the tight Democratic opposition, couldn't even get the Senate to vote on the matter.

That such a reckless political stand could have been taken by the Democrats was obscene even then. Wallison wrote at the time: ``It is a classic case of socializing the risk while privatizing the profit. The Democrats and the few Republicans who oppose portfolio limitations could not possibly do so if their constituents understood what they were doing.''

But we now know that many of the senators who protected Fannie and Freddie, including Barack Obama, Hillary Clinton and Christopher Dodd, have received mind-boggling levels of financial support from them over the years.

SUPER COLLIDER TEST A SUCCESS!!!

Life was created...Now make it go away.

HAMAS: JEWS PLANNED THE HOLOCAUST

From the "Man, these people aren't just mean they're retarded files"...

Jewish leaders concocted the mass murder of handicapped Jews in order to keep from having to support them, and this murder is what the Jews term "the Holocaust," according to a documentary special that aired on April 18 on Hamas's Al Aqsa television station.

Palestinian Media Watch located and translated the contents of the footage, which it uploaded to YouTube under the headline "Hamas: Jews planned Holocaust."

According to the documentary's narrator, Israel's first prime minister David Ben Gurion decided that Jewish "disabled and handicapped are a burden to the state," after which "the Satanic Jews" - the film cuts to a picture of a hassidic Jew - "thought up an evil plot to be rid of the burden of disabled and handicapped" - the film then cuts to piles of emaciated corpses - "in twisted criminal ways."

The film claimed Jewish leaders blamed the Nazis for their own massacre of Jews "so the Jews would seem persecuted and try to benefit from international sympathy."

The film offers an "expert" - Amin Dabur, head of the "Center for Strategic Research" - who explains that "the Israeli Holocaust, the whole thing was a joke and part of the perfect show that Ben Gurion put on."

I'll bet anything these people don't believe in Santa Claus.
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