Burning Down The House - US Messageboards

boedicca · July 3rd, 2011, 05:41 PM

George Will has a column today about "Reckless Endangerment", which I am currently in the midst of reading. It is the most complete analysis of the cause of the Great Recession that I've encountered. I commented to mr. boe the other day that it's like a sequel to Atlas Shrugged without the Dagney Taggart Rough Sex scenes.

The central Bad Actor in the unseemly mess is James Johnson. He is The Personification of the unholy Cronyism which has enabled this wholesale plundering of our economy.

“The louder he talked of his honor, the faster we counted our spoons.”

The louder they talked about the disadvantaged, the more money they made. And the more the financial system tottered.

Who were they? Most explanations of the financial calamity have been indecipherable to people not fluent in the language of “credit default swaps” and “collateralized debt obligations.” The calamity has lacked human faces. No more.

Put on asbestos mittens and pick up “Reckless Endangerment,” the scalding new book by Gretchen Morgenson, a New York Times columnist, and Joshua Rosner, a housing finance expert. They will introduce you to James A. Johnson, an emblem of the administrative state that liberals admire.

The book’s subtitle could be: “Cry ‘Compassion’ and Let Slip the Dogs of Cupidity.” Or: “How James Johnson and Others (Mostly Democrats) Made the Great Recession.” The book is another cautionary tale about government’s terrifying self-confidence. It is, the authors say, “a story of what happens when Washington decides, in its infinite wisdom, that every living, breathing citizen should own a home.”...

http://www.washingtonpost.com/opinio...y.html?hpid=z3

The T · July 3rd, 2011, 05:45 PM

One question? When are the subpoenas coming out to convict these pricks?

boedicca · July 3rd, 2011, 06:01 PM

Under this Administration? Never.

The T · July 3rd, 2011, 06:05 PM

Originally Posted by boedicca

Under this Administration? Never.

No kidding. It would require a spine to do it...

trlrtrash13 · July 3rd, 2011, 06:05 PM

Originally Posted by boedicca

Under this Administration? Never.

Under any administration?

Midnight Marauder · July 3rd, 2011, 06:07 PM

Problem is, no laws were broken. Not even Will is asserting that, nor does the author of the book he cites.

THE problem was and is, big government with laws which have loopholes so big, I could pilot the Titanic through them.

boedicca · July 3rd, 2011, 06:10 PM

Actually, laws were broken. Fannie Mae committed accounting fraud starting in the late 1990s.

trlrtrash13 · July 3rd, 2011, 06:11 PM

Originally Posted by boedicca

Actually, laws were broken. Fannie Mae committed accounting fraud starting in the late 1990s.

Barney Frank would never break a law. Nor would his male escort boyfriend.

The T · July 3rd, 2011, 06:14 PM

Originally Posted by Midnight_Marauder

Problem is, no laws were broken. Not even Will is asserting that, nor does the author of the book he cites.

THE problem was and is, big government with laws which have loopholes so big, I could pilot the Titanic through them.

True inas much as to loopholes. Usually law is written to give Government the upper hand.

And as to that? That is what 2010 was about...turning this shit around.

boedicca · July 3rd, 2011, 06:18 PM

Originally Posted by Midnight_Marauder

Problem is, no laws were broken. Not even Will is asserting that, nor does the author of the book he cites.

THE problem was and is, big government with laws which have loopholes so big, I could pilot the Titanic through them.

Agreed. This situation is an excellent case study. Fannie Mae used taxpayer money to buy off politicians, rig regulations in its favor, and recruit "community organizations" to act as its foot soldiers. Wall Street colluded because it was able to privatize profit and socialize risk while enabling Fannie Mae's con game.