Is Bill Clinton partially responsible for the economic meltdown in the US?

December 26, 2008 by  
Filed under commercial mortgage lenders

Former President Clinton is on the campaign trail claiming he has nothing to do with the current economic crisis. However, the facts are these:

When President Clinton was president his terms was characterized by economic prosperity and financial deregulation, which in many ways set the stage for the excesses of recent years. Among his biggest strokes of free-wheeling capitalism was the Gramm-Leach-Bliley Act, which repealed the Glass-Steagall Act, a cornerstone of Depression-era regulation. The repeal enabled commercial lenders such as Citigroup, which was in 1999 then the largest U.S. bank by assets, to underwrite and trade instruments such as mortgage-backed securities and collateralized debt obligations and establish so-called structured investment vehicles, or SIVs, that bought those securities. It is therefore seen that the repeal of this act is directly responsible for the Global financial crisis.

That was not enough for former President Cliinton. He also signed the Commodity Futures Modernization Act, which exempted credit-default swaps from regulation. The Commodity Futures Modernization Act of 2000 has received criticism for the so-called “Enron loophole,” which exempts most over-the-counter energy trades and trading on electronic energy commodity markets. This was one of the big reasons for the collapse of Enron.

Not convinnced yet? In 1995 Clinton loosened housing rules by rewriting the Community Reinvestment Act, which put added pressure on banks to lend in low-income neighborhoods. All these rules changes played a role in creating a permissive lending environment. This in turn led to more loans being given to people who really could not afford them, leading to defaults today.

After all of this, do you believe our former president when he says to the media, “I am not a fault for any of this financial mess? Do you believe if my economic team was in place that any of this would have happened?”

My answer is yes I do – after reading about all the things he did in great detail, I put part of the blame squarely on his broad shoulders. To deny he had nothing to do with it seems like he is trying to rewrite history. What do you think?
Hmm. The surplus has nothing to do with the current situation. How does that figure into this quesstion?

True, anything can be overridden – but how does that absolve Clinton for pushing these ideas in the first place?

Although Clinton is not formerly campaigning, he is making repeated statements (three in the last two days) stating he has NOTHING to do with the economic downturn. If this is not campaigning for his reputation history, what is it then? Just random statements?

Comments

12 Comments on "Is Bill Clinton partially responsible for the economic meltdown in the US?"

  1. cvq3842 on Fri, 26th Dec 2008 4:50 am 

    Yes.

  2. Jeffrey L on Fri, 26th Dec 2008 5:36 am 

    Of course he shares a lot of blame. His massive ego won’t let him allow history to judge him. He’s a big blow-hard.

  3. Lily on Fri, 26th Dec 2008 6:32 am 

    Yes like all the fat cats who have feathered their own nests..but I do feel greedy bankers have a lot to answer for…

  4. Ol Scratch on Fri, 26th Dec 2008 7:24 am 

    No. Not so much.

  5. Wounded Duck on Fri, 26th Dec 2008 7:48 am 

    Nope, We had a large SURPLUS when he left office and Republicans controlled both Houses of Congress and the White House. They could easily have overridden any of the policies you mentioned, but chose not too. Rewriting history didn’t work with Reagan and won’t work for Bush and his buddies. Suck it up, you “Fiscal Conservatives” blew it.

    And just for YOUR edification, Mr.Clinton is NOT on the “Campaign Trail”. He isn’t running for any office. It’s this kind of misrepresentation of facts that led to the downfall of the GOP!

  6. John T on Fri, 26th Dec 2008 8:11 am 

    I concur that President Clinton has some responsibility for the current financial crisis. The Commodity Futures Modernization Act, and the repeal of Glass-Steagall were bad choices.

    I will take issue with Community Reinvestment Act. Nothing in the act required lenders to give up their underwriting standards. Moreover, the vast boom in subprime loans and problems occured post 2002. If CRA was the proximate cause, it would have happened earlier.

    I will also fault Clinton for retaining Alan Greenspan. The financial crisis has many origins – among consumers, among banks, and in government. But Greenspan kept rates low, and financial institutions sought any sort of instrument that would pay more than the low interest rates. This created an enormous market for mortgage-backed securities. Nobody cared about loan underwriting any more, since it would be immediately sold to some investor somewhere.

    While many, many people are to blame, I put Greenspan as the most culpable.

  7. stoktrader on Fri, 26th Dec 2008 9:05 am 

    Thank you for speaking the facts that support the TRUTH in this matter and clear up was it obviously a lie from ex-President Clinton who would have trouble finding the truth with two hands and a map if it was on his head.

    That he claims he didn’t bear any responsibility after your outline, one has to wonder why such an individual should have occupied the office of President in the first place. He obviously did not understand anything he was voting on.

    I wouldn’t mind hanging out for a few beers with ole Bubba, but I certainly wouldn’t buy anything from him.

  8. cfb193 on Fri, 26th Dec 2008 9:16 am 

    Start with Jimmy Carter, get Bill Clinton end up with what’s his name Obama.

  9. stumpedII on Fri, 26th Dec 2008 10:09 am 

    yes.. clintons.. pelosi.. reed.. they all work for the same people bush and cheny work for.. the NEW WORLD ORDER..

    clinton just picked up the ball that daddy bush started rolling.. when he promised his vision of THE NEW WORLD ORDER.. ..

    bas9ically he said a fascist one world govt was in our future.. that our constitution woud be destroyed.. our very country destroyed and reformed as a one world entity.. with the royalty and bush’s running it.

    everyone else rfid’d.. secret police EVERYWHERE.. no rights for anyone that is not the new world order elite.

    this is what daddy bush promised us.. the biggest traitor in world history.. this is what clintons did with nafta.. and selling ballistic missile secrets to communist china.. this is what cheerleader bush did when he started insane bankrupting wars.. and finished the destruction of the american economy that clinton started..

    there are traitors in our govt.. pelosi.. blocking bush’s impeachment.. leiberman.. coming out of the closet to defend the bush doctrine.. all these people work for the NEW WORLD ORDER.. kerry.. took the same secret oath that bush did.. not to the us govt or the constitution.. but to skull and bones.. people who have allegiance to secret organizations should be banned from govt… the only oath bush ever kept was to the skull and bones.. cus he used that to blow off his oath to the constitution.. then commenced to dismantle it.. treating it worse than most people would treat toilet paper…,

    want to know who the traitors are? .. see who voted no for impeachment.. that”s a good start.. pelosi.. bush.. clintons.. leiberman.. macain.. all on the same NWO team.. daddy bush and the cia rigging everything.. including the cheerleaders election.

    http://rawstory.com/news/2008/Karl_Roves_IT_guru_Mike_Connell_1220.html

    as long as your elections can be rigged and stolen by electronic paperless ballots.. then they might as well be stolen by them.. NO DIFFERENCE…

    obama only won cus his landslide was so huge.. they didnt plan or expect it..

    but now their disinformation .. propaganda machine is already trying to make an obama defeat in 2012 seem plausable.. the nazi propaganda machine against democracy is in full swing..

    terrorists arent the real threat to america.. bush and his friends are…THE NEW WORLD ORDER

  10. praetoriangrd1 on Fri, 26th Dec 2008 10:44 am 

    Yes, he is and although he was on television on Sunday talking about what he had gotten his wife for Valentine’s Day, and no it wasn’t a divorce. Altough they both have their skeletons, Hillary’s being the reconstruction surgery she had done.
    He is the one who signed NAFTA, at the suggestion of Jimmy Carter, and now they won’t speak to each other, at the inauguration, the Carters walked past the Clinton’s and didn’t say a word, look at it on youtube.
    Clinton was also the one who told Freddie Mac and Fannie May executives that he would support them if the loans that they gave failed for any reason, which started happening near the end of Former President Bush’s second term, leaving him to deal with the mess.
    Now Clinton, is acting like he was the most honorable and noble man to be in the White House since Lincoln, forgetting that he was impeached and lost his license to practice law for lying under oath.
    Another big failure of Clinton’s, was after the1993 attack on the WTC, at two different occasions, the United States had the location of Osama Bin Laden, and the assets in place to assassinate him, and Clinton failed to give the order, he said it was his private time and he didn’t want to be disturbed.
    Leaving me with the conclusion that if Clinton would have attended to the affairs of the Presidency, the attacks of 9/11/2001, may have never taken place, Clinton was too busy with an intern and a cigar to attend to the office to which the american people had entrusted to him.
    While Secret Service agents reported that members of Clinton’s staff, were seen snorting a white powder off their desks.
    While in a deposition in a law suit against the President, a woman described the former President’s testicles and penis in graphic detail.
    While after the “suicide” of Vince Foster, Hillary was seen in Foster’s office directing staff to take certain boxes of material, and refused to allow the investigating officers from entering the office for 9 hours after his body was discovered.
    Then is the last days of his Presidency he started a pardons for dollars program that was run by Hillary’s brother Hugh Rodham, who, was granted an unlimited access pass at the orders of Hillary.
    Clinton took money and gifts from Denise Rich, in return for a pardon for her husband Marc Rich, who was a fugitive, who fled before court, essentially making him ineligible for a pardon, however Clinton granted it.
    Then several pricless artifacts were taken by the Clinton’s when they left 1600 Pennsylvania Ave. and only returned them after the White Curator called them and demanded they be returned
    Clinton’s left Washington with millions of dollars for the pardons scheme, and gifts that were also given for the pardons.
    Making Bill Clinton the biggest crook to ever be President, President Nixon can rest peacefully since Clinton surpassed anything Nixon did.

  11. Dan on Fri, 26th Dec 2008 10:47 am 

    He helps the economy by buying cigars for His female assistants.

  12. racingdiego@sbcglobal.net on Fri, 26th Dec 2008 11:31 am 

    Yes he is!

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