2008 Financial Crisis

[James Martin]

I listened to former CEO of BB&T John Allison speak at Harvard Law School this morning. Give us Liberty, but not a Bailout!He talked about bad mistakes made in real estate driven by governmental policy. And anxiety among business people with a lack of confidence. I am not a politician, but I'm woke now!

[Bryan Hancock]

Originally posted by Chris Martin:

One thing to keep in mind is that the "massive government intervention" in underwriting mortgages has kept this country from collapse. The Government Sponsored Entities (Fannie Mae, Freddie Mac and Ginnie Mae) make up almost all housing lending.

The massive government intervention has CAUSED the whole mess. If we simply had local small lenders with skin in the game with lending they would make rational loans at market rates and things would be fine.