Diary

The Missing Point In Barack Obama's Housing Plan

Implicit in the President’s new housing plan are assumptions like the one detailed in the following passage:

. . . In announcing the housing plan, Mr. Obama struck a populist note, criticizing speculators and “lenders who knowingly took advantage of homebuyers” with the same vehemence he used in going after Wall Street bankers for giving themselves bonuses as their companies were seeking government help.

Uh-huh. Unfortunately, no mention whatsoever is made of the fact that the housing crisis stemmed in large part from the dramatic lowering of lending standards and the defaults galore that arose from not having stringent lending standards.