Do you agree with this:
BUSH ADMINISTRATION responsible for 2008 FINANCIAL CRISIS
I see a lot of politicians and forum members pointing fingers at who was responsible for the 2008 Financial Crisis we are currently experiencing.
The answer is really simple.
THE BUSH ADMINSTRATION!
Bush selected the Board of Governors at the Federal Reserve.
The Federal Reserve Governors are responsible for Banking Oversight.
The below quotes are found here:
Federal Reserve System – Wikipedia, the free encyclopedia
Private banks elect members of the board of directors at their regional Federal Reserve Bank while the members of the Board of Governors are selected by the President of the United States and confirmed by the Senate.
The Board of Governors is the part of the Federal Reserve System that is responsible for supervising the private banks. A general description of the types of regulation and supervision involved is given by the Federal Reserve:
The Board also plays a major role in the supervision and regulation of the U.S. banking system. It has supervisory responsibilities for state-chartered banks that are members of the Federal Reserve System, bank holding companies (companies that control banks), the foreign activities of member banks, the U.S. activities of foreign banks, and Edge Act and agreement corporations (limited-purpose institutions that engage in a foreign banking business). The Board and, under delegated authority, the Federal Reserve Banks, supervise approximately 900 state member banks and 5,000 bank holding companies. Other federal agencies also serve as the primary federal supervisors of commercial banks; the Office of the Comptroller of the Currency supervises national banks, and the Federal Deposit Insurance Corporation supervises state banks that are not members of the Federal Reserve System. Some regulations issued by the Board apply to the entire banking industry, whereas others apply only to member banks, that is, state banks that have chosen to join the Federal Reserve System and national banks, which by law must be members of the System. The Board also issues regulations to carry out major federal laws governing consumer credit protection, such as the Truth in Lending, Equal Credit Opportunity, and Home Mortgage Disclosure Acts. Many of these consumer protection regulations apply to various lenders outside the banking industry as well as to banks. Members of the Board of Governors are in continual contact with other policy makers in government. They frequently testify before congressional committees on the economy, monetary policy, banking supervision and regulation, consumer credit protection, financial markets, and other matters. The Board has regular contact with members of the Presidentâ€™s Council of Economic Advisers and other key economic officials. The Chairman also meets from time to time with the President of the United States and has regular meetings with the Secretary of the Treasury. The Chairman has formal responsibilities in the international arena as well.
Preventing asset bubbles
The board of directors of each Federal Reserve Bank District also have regulatory and supervisory responsibilities. For example, a member bank (private bank) is not permitted to give out too many loans to people who cannot pay them back. This is because too many defaults on loans will lead to a bank run. If the board of directors has judged that a member bank is performing or behaving poorly, it will report this to the Board of Governors. This policy is described in United States Code, Title 12, Chapter 3, subchapter 7, section 301:
Each Federal reserve bank shall keep itself informed of the general character and amount of the loans and investments of its member banks with a view to ascertaining whether undue use is being made of bank credit for the speculative carrying of or trading in securities, real estate, or commodities, or for any other purpose inconsistent with the maintenance of sound credit conditions; and, in determining whether to grant or refuse advances, rediscounts, or other credit accommodations, the Federal reserve bank shall give consideration to such information. The chairman of the Federal reserve bank shall report to the Board of Governors of the Federal Reserve System any such undue use of bank credit by any member bank, together with his recommendation. Whenever, in the judgment of the Board of Governors of the Federal Reserve System, any member bank is making such undue use of bank credit, the Board may, in its discretion, after reasonable notice and an opportunity for a hearing, suspend such bank from the use of the credit facilities of the Federal Reserve System and may terminate such suspension or may renew it from time to time.
To me, it looks like the oversight LAWS WERE IN PLACE, and the Federal Reserve Governo
If Bush hadn’t let gas prices get so out of hand we would all have $300-$500 more to spend each month to stimulate the economy.
You guys are blaming Clinton? He left us with a surplus. Bush will leave us with the biggest deficit we’ve ever seen. Bush spent all our money and robbed us blind at the pump.
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?