As my interpretation lends me to what are largely unforeseen or unintended consequences. Good intentions, bad results.

Remember the “Flip this house” environment? Go look up how many mortgages were 1) issued and often guaranteed by Fannie & Freddie ($5.5 trillion) and 2) funded/purchased by Fannie/Freddie (over $1 trillion).

To the contrary, the Dems were all for subsidizing mortgage risk (while Greenspan was simultaneously doing his part to attract too much to the sector through low general interest rates.) When the music stopped (the supply of greater fools looking to buy as much house as possible ran out), no amount of micro “regulation” was going to hold back the tidal wave of deleveraging pain.

It’s not a whole lot different than the tech bubble crash, other than a) the housing market plays a much larger role in our economy, and b) government played a major active role in the bubble’s inflation.

It is absolute hypocrisy for those that championed a policy of a pedal-to-the-metal allocation to the housing sector to point the finger elsewhere.

You’ll never find the words “sub-prime” in the Clinton-era CRA or any other law, just mandates in the law whereby many institutions, *required*
to up the number of loans to people they knew weren’t creditworthy; followed by FM & FM buying up all these loans encouraged by Dems like Dodd & Frank in Congress; followed by Sarbanes-Oxley (both Dems jic you were wondering) designed to punish *all* those “greedy” businesses for the sins of a few; S-O led to a p*** load of burdensome accounting regulations including mark-to-market which requires solvent lending institutions to mark down perfectly sound assets to the level of the lousy assets of sister institutions which, viola, makes *them* insolvent.

And when Republicans tried to blow the whistle on the house-of-cards Ponzi scheme early in the Bush administration, the Dems, who received buttloads of money from Fannie and Freddie (Dodd, Frank & Obama being the leading recipients of campaign contributions) blocked every attempt.

So…here’s the conservative position: 1) Liberal, socialistic (read ‘government’) desires to ‘level the playing field’ caused this mess; 2) Those currently in charge blocked every attempt to stop it; 3) supposedly, the people who *caused* this nightmare are now deemed to be the ones who know how to fix it; 4) every conservative I know is outright outraged that those institutions and individuals who chose to be responsible and not participate in the greed orgy are now having to pay the price, literally, for the ineptly run institutions and the greedy morons who chose profligacy over fiscal responsibility.

This problem was *caused* by the government for heaven’s sake. How in God’s name do we honestly think they can fix it?

We do research and know our facts. That’s why we fought so hard to expose O during the election as a Radical Socialist-Communist.

The facts showed this to be true.

Conservatives live in the real world based on facts. This is why conservatives are the most successful people in the world.

They don’t run their lives based on Hope and fantasy, and the facts never fail them.

As an investor, the stock market is based on HOPE, GREED and FEAR.

HOPE is the worst emotion a trader can ever possess. It always fails. i.e. I hope WorldCom comes back next year.

Here’s Hoping that every liberals head explodes in the next year.

….. and all the “intellectually bankrupt” Ivy League professors who adulterated their studies and lied before the Congress on the political correctness of CAIR and its succeeding amendments/expansions.

Conservatives rely on facts. We’ve done the reasearch. We’ve studied the results from the actions taken in the past when dealing with economic downturns.

We understand history. We know that FDR’s New Deal prolonged the Great Depression. We KNOW that after wards, his Treasury Secratary wrote that all the spending they did would never be enough, that the government cannot spend it’s way out of a recession.

We studied Kennedies tax cuts in response to recession and how they worked. We saw the results of Jimmy Carters socialist approach to recession. Can you say 70% tax rates and 20% plus inflation?

And we say how Ronald Reagans tax cuts rescued us from the Carter socialist debacle.

Do your own freaking research.

Troll!

Just turn on CNBC at 2:15 est on a day that the fed is anouncing new interest rates. Watch what happens.

Look at the history of Obama and Geithners policy speeches and the IMMEDIATE reation of the market.

You asked:
“Do you think that maybe, just maybe those smart guys who know the economy and are thus deciding which stocks they buy are maybe just maybe making these predictions because they see huge unemployment rates, massive losses and other things which were predicated far before today and which can’t be immediately forestalled in anyway by any policy.”

In a word, no.

The dems then “encouraged” the banks to come up with adjustable rate mortgages to help these people.

Freddie and Fannie were created because banks, rightfully, resisted saying these were bad loans that people could not repay. The dems said Frannie and Freddie would buy the loans, so don’t worry.

In 2003 and again in 2005 President Bush and the Republicans tried to roll this abortion back by reigning in Frannie and Freddie. The dems were having none of it.

Now, you’re informed on the subject of the mortgage crisis. I did not provide links because a good student will do the research on their own.

You’ re welcome.

Oh and the research thing? really? Are you guys going to make the same B.S. statements that are found on digg etc. when someone conservatives posts there?

You incorrectly ASSUMED????? Did you correctly assume that you would make an ASS out of yourself.

You are the type of ignorant liberal that is willing to be so delusional about “assuming that the statements I was making …were accepted facts.” You are willing to believe that when the this ship is sinking that its not water the boat is taking on its just acceptable wet fluid.

I HOPE YOU GO DOWN WITH THE “O”-ship, AS I KNOW YOU WILL FIND SOME WAY TO JUSTIFY THE “Acceptable” SACRIFICE

I hope that everyone continues to mark this guys comments for the DELUSIONAL HACK that he is

That’s not just “Acceptable” , THAT TRUE!

P.S. If you truly want to understand the otherside. Maybe if you actually did research and didn’t ASSUME you would realize why we are divided an pissed about the thievery of every American citizen. We all live in the REAL WORLD.

Not all Americans.

The 48 stood high and followed McCain’s optimism.

I feel sad for 52.

At the VERY LEAST, Obama should be held responsible for his actions on how he is handling things on day 1. He campaigned and ran knowing many of the problems and said he was the solution. Obama is making poor decisions since day 1 and needs to own them.

Rahm is right. This is why ElectedElites LOVE crisis. It is a blame free environment to radically implement your agenda. If stuff hits the fan you point fingers and say hey, at least I tried something. Nobody would hold a doctor accountable as much for doing a dumb think w/ a super critical patient.

But any fool w/ a shred of common sense and actually attended Econ 101 more than once, knows not to show up to a house fire with a can of gasoline.