Saturday, September 19, 2009

Are They Crazy Or Just Stupid? New Community Reinvestment Act

Barny Frank is at it again. Having blocked any legislation proposed to reign in Freddie and Fannie during the Bush years, he is now wanting to expand the legislation that many economists believe got us in the financial crisis that has just about shut down our economy. Hearings were held Wednesday morning on H.R.1479 "The Community Reinvestment Modernization Act of 2009". The bill's purpose is "to close the wealth gap in the United States" by increasing "home ownership and small business ownership for low- and moderate-income borrowers and persons of color." This is the same legislation that enabled/forced/encouraged banks into giving mortgages and other loans to individuals regardless of their ability to pay. Hence foreclosures, bailouts, stimulus etc. Will these Democrats ever learn? Read about it here.

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