Stop Blaming Poor People For The Meltdown

Democrats blame Republicans.  Republicans blame Democrats.  The lenders blame the government.  The government blames the lenders.  And, in the media, everybody blames poor people.  Cut it out.

Poor people did not cause the economic crisis in this country.  Think about that.  They’re poor.  They didn’t have any money in the first place, now they have less.  Even if it’s a lot less, it’s not enough to account for the current mess we’re in.  It ain’t 700 billion dollars worth of less.  If poor people were buying substandard housing at fair market prices, even if they all defaulted on their mortgages, what’s the big deal?  Let’s face it, if this whole housing mess only involved poor people and minorities, only poor people and minorities would care.

Sure, the laws on the books were exploited to the point that we’re in full economic free fall right now, but it’s the exploitation at fault, not the law or it’s intention. The Community Reinvestment Act’s stated purpose was a noble one.   The worst it could be accused of being is “naively optimistic.”  But then, Carter was president.

The Community Reinvestment Act is intended to encourage depository institutions to help meet the credit needs of the communities in which they operate, including low- and moderate-income neighborhoods, consistent with safe and sound banking operations. It was enacted by the Congress in 1977 (12 U.S.C. 2901) and is implemented by Regulations 12 CFR parts 25, 228, 345, and 563e. (See Regulation)

The CRA requires that each insured depository institution’s record in helping meet the credit needs of its entire community be evaluated periodically. That record is taken into account in considering an institution’s application for deposit facilities, including mergers and acquisitions. (See CRA Ratings) CRA examinations (see Exam Schedules) are conducted by the federal agencies that are responsible for supervising depository institutions: the Board of Governors of the Federal Reserve System (FRB), the Federal Deposit Insurance Corporation (FDIC), the Office of the Comptroller of the Currency (OCC), and the Office of Thrift Supervision (OTS).

As I blogged about a couple of days ago, all you’d have to do is watch HGTV or any of the other real estate-oriented shows all over the airwaves and you’d have seen the problem unfold before your very eyes, starting years ago.  Everybody got subprime loans.  Young professional singles, couples, retirees, middle class, lower middle class, lower upper class, and a bunch of other categories and sub-categories of Americans in between, bought all kind of houses with 100% financing.  No down payment is the norm.  Very few of these shows feature unemployed minority families.

In fact, money was so easy to get, there was a rise in shows dedicated to home “flipping,” or buying houses just to sell them.  Whole shows about whole companies dedicated to inflating the housing market for profit.  This has nothing to do with poor people, minorities, CRA, ACORN or any other alphabet soup organization, in fact, house flipping takes advantage of low-income housing, since it means that before a family has access to a home, it has to be bought and sold twice.  At a profit.

And don’t think that all these “flippers” could afford their “investment,” either.  Most of them bought houses to flip with 100% financing and often faced the prospect of carrying 2 mortgages; one on the “flip” house, and their own home loan.  All too often, they couldn’t sell the flip house in time to avoid selling at a loss, or worse, going into default.  Yet nothing stopped them from trying again once they got out from under.

When seeing people play the “blame poor people” game, remember that “subprime” refers to the loan, not the recipient.  Congresspeople and entertainers have faced losing their homes, too.  An environment of unlimited credit, plus the illusion of unlimited opportunity created by profiteers benefiting from the hysteria over-inflated, out-of-the-ballpark numbers can generate put us in our current situation.  The scam artists and con men on both sides of the aisle have gotten caught with their hands in the cookie jar and now want to blame their underpaid maids for making cookies in the first place. And, if that doesn’t work, those guys shouldn’t sell such nice stoves, or maybe people shouldn’t write cookbooks.  But if you want to know who the real crooks are, you probably don’t have to look any further than the guys yelling, “Hey, it’s not my fault!”

Poor people did not make this mess.

They can’t afford it.

And they never could.

Meltdown Takes A Holiday

What happened to the meltdown?  I thought the country was “in the midst of the greatest financial threat since the Great Depression.”  So, where are all the news media doom-and-gloom dire predictions of imminent economic collapse today?  Seems they took the weekend off.  Oh, sure, there is an AP story quoting Harry Reid about “making progress:”

Congressional leaders said Saturday they hoped to reach an agreement on a multibillion-dollar bailout plan for the financial sector before the markets open Monday, even if House and Senate votes would come later.

“The goal is to come up with a final agreement by tomorrow,” Senate Majority Leader Harry Reid, D-Nev., said during an unusual weekend session of Congress. “We may not be able to do that, but we’re trying very hard.”

They’re “trying hard?”  Good to know.  It’s enough to make a cynical person think that maybe the media was being fed over-hyped crisis stories to build up interest in a ho-hum debate between two candidates both parties regret choosing as presidential nominees.  But, the Democrats and Republicans wouldn’t sink low enough to try to dupe the American electorate with that kind of fearmongering, would they?

Naaaah.

And, speaking of the debate, what about those two polls giving Obama a decisive edge in public opinion?

Fifty-one percent said Obama, the Democrat, did a better job in Friday night’s faceoff while 38 percent preferred the Republican McCain, according to a CNN-Opinion Research Corp. survey of adults.

snip

In a CBS News poll of people not committed to a candidate, 39 percent said Obama won the debate, 24 percent said McCain and 37 percent called it a tie. Twice as many said Obama understands their needs than said so about McCain.

Considering Team O’s exhortations to it’s loyal followers to watch the debates on CNN, anything from them has to be taken with a grain of salt about the size of a lick.

“Watch Barack Obama debate John McCain tonight at 9 p.m. Eastern on CNN,” the message said. Also, remind friends to register to vote at VoteforChange.com. Please forward this message.

The CBS poll was conducted by Knowledge Networks, they of the recent Obama race victim AP-Yahoo News polls, and though MarketWatch vouches for their integrity, the polling company, founded by two Stanford University professors, has produced results for the past few months, or so, that have been pretty consistently pro-Obama.

Now, I will readily admit to a certain amount of cynicism here, given the fact that, though I have no affinity for either major party candidate, I truly dislike Barack Obama and the party that, by foisting him upon me, drove me out.  So, yeah, I’m going to look for any excuse to bash him, and them, but I am grateful that their combined incompetence, chicanery, and over-all slimy-ness makes doing so very easy.

PUMA

Just Say No Deal

Barack Obama: But, Seriously, Folks

Okay, I’m cruising the internet, like I like to do in the morning, visiting my favorite news and “screw Obama” sites (they used to be “pro-Hillary” sites, but she’s an Obot now) and I come across a funny song on The Mountain Sage.  They got the song from a Time Magazine story about Obama and McCain’s now-famous, failed bi-partisan attempt turned Senate pissing contest, that lead to school-boy-like nasty-note exchanges, which was written up in today’s Washington Post, and blogged about at the time by Chicago Sun-Times’ Lynne Sweet.  Seems Obama channeled his inner Shecky at the 2006 Gridiron Dinner, complete with a song-and -dance routine.  (A real one, not the usual hemming, hawing, shucking, jiving, bamboozling, hoodwinking thing he always does.)  Man, oh, man, where was this guy last night?  I mean, sure, he and McCain, while not really saying squat of any significance about the financial meltdown, managed to lessen it’s global impact considerably, as evidenced by the complete lack of the same kind of urgency that plagued the media for the last few days in today’s reporting, but this…this could have been a game changer.

Sweet reports that Barack’s zingers were penned by none other than that astroturfing funnyman, David Axelrod, which makes me wonder if, when off-TelePrompTer, does David resort to sticking his hand up Obama’s ass shirt while he talks for him and makes his lips move?  Anyway, I just feel compelled to share the wit and wisdom of Barack Obama as he shared his Bob Hope-esque dinner show talents that night, in it’s entirety.  I’m sure that after experiencing it, you, like me, will be even more determined to end this man’s presidential hopes so he can get out on the boards where he belongs.  Also, be sure to visit Lynne’s Place for even more good times and hilarity from the other clowns jokers entertainers speakers that evening.  But, now, without further ado, ladies and gentlemen, heeeeere’s Obie!

Thank you very much:

It’s great to be at the Gridiron dinner. Wow, What an extravaganza! Men in tails. Women in gowns. An orchestra playing, as folks reminisce about the good old days. Kind of like dinner at the Kerrys.

Nice to see you Mr. President and Mrs. Bush. I think it takes a great spirit for the President, who we all know is an early riser, to sit here until midnight and hear himself lampooned, when he could be back at the White House enjoying a quiet, peaceful night, watching TV and approving secret wiretaps.

I don’t see the Secretary of State is here tonight. You know, the President promised a muscular foreign policy. And anyone who’s seen the Condi Rice workout tapes knows he means business.

The truth is, I’m terrified to be here. Not because you’re such a tough audience, but because they’re serving drinks, I’m standing about 30 yards from the Vice President, and…Mr. Vice President this is too easy!

Mr. Vice President, I know you came here expecting to be a target, which, it turns out, may prove easier for you than shooting at one. But I do want to thank you: for years, we Democrats have succeeded in doing little more than shooting ourselves in the foot. You’ve taught us a valuable lesson: aim higher.

There’s probably only one person more sick of these jokes than you… and that’s your wife. It’s an honor to share this stage with Lynne Cheney — a great personage in her own right. Scholar. Author. A few years ago she wrote a book called, “Telling the Truth,�? or as they call it in the Vice President’s office, “Telling the Truth-24 hours later.�?

The Vice President and I do have one thing in common, we both married up. I want to acknowledge my wife, Michelle, who is here tonight. This is a true story: a friend sent me a clip about a new study by a psychologist at the University of Scotland, who says sex before a public speaking engagement actually enhances your oratorical powers. I showed this clip to Michelle, before we arrived here tonight. She looked it over, handed it back and said, “Do the best you can!�?

This appearance is really the capstone of an incredible 18 months. I’ve been very blessed. Keynote speaker at the Democratic Convention. The cover of Newsweek. My book made the best-seller list. I just won a Grammy for reading it on tape. And I’ve had the chance to speak not once but twice before the Gridiron Club. Really what else is there to do? Well, I guess…. I could pass a law, or something…
About that book, some folks thought it was a little presumptuous to write an autobiography at the age of 33, but people seemed to like it. So now I’m working on volume two-the Senate Months.

My Remarkable Journey from 99th in Seniority to 98th.

(With an introduction by Nelson Mandela.)

Believe me, when you’re the last guy to ask questions at every committee hearing, you have plenty of time to collect your thoughts. Especially when Joe Biden’s on the committee.

I’ll tell you, that Grammy was a big surprise. I thought, for sure, Jack Abramoff would win for his rendition of “It’s Hard Out Here for a Pimp.�?

As I said, it’s great to be here speaking opposite Lynne Cheney. As you may know, Mrs. Cheney was a late substitution for Senator John McCain. And speaking of Senator McCain.

This whole ethics thing has been an adventure. I was really excited when they asked me to be the lead Democratic spokesman. But I don’t know. Turns out, it’s a little like being given the Kryptonite concession at a Superman convention. I mean, how did I know it was a freshman hazing? It gets a little depressing. So as I sometimes do when I get a little down, I wrote a song. Maestro?

(To the tune of “If I Only Had a Brain�?)

I’m aspiring to greatness, but somehow I feel weightless
A freshman’s sad refrain
I could be a great uniter, making ethics rules much tighter
If I only had McCain

I could bring us all together, no storm we couldn’t weather,
We’d feel each other’s pain
Red and blue wouldn’t matter, party differences would shatter
If I only had McCain

Oh why is it so hard, for honest men of good will to agree,
If we ever found a way to strike a deal, would we survive… politically?

When a wide-eyed young idealist, confronts a seasoned realist
There’s bound to be some strain
With the game barely started, I’d be feeling less downhearted
If I only had McCain

Still I hope for the better, though I may rewrite my letter
Cause I gotta have McCain
Needless to say, my Grammy was in the spoken word category!

I should say that I really do get along well with Senator McCain. But as you know, not everyone in politics does. Because of his superstar status, his virtuous image, the kind of hero worship treatment he gets from all of you, some of my colleagues call John a prima donna. Me? I call him a role model. (Think of it as affirmative action. Why should the white guys be the only ones who are overhyped?)

By the way, before I forget, raise your hand if Karl Rove didn’t tell you about Valerie Plame?

You know, The Gridiron Club is an aging institution with a long, proud history, known today primarily for providing a forum for jokes. To some, that may sound like the Democratic Party.

You hear this constant refrain from our critics that Democrats don’t stand for anything. That’s really unfair. We DO stand for anything.

Some folks say the answer for the Democratic Party is to stop being so calculating, and start standing up for principle. In fact, Harry Reid’s appointed a task force to study this option.

But really, they say our party doesn’t have ideas? We have ideas.

Take John Edwards. He’s leading a new war on poverty… from his Chapel Hill estate. And he’s educating us. I had no idea there was so much poverty in New Hampshire!

Speaking of New Hampshire, a lot of speculation that that 2008 campaign could come down to Senator McCain and Hillary Clinton. The thing I don’t think people realize is how much John and Hillary have in common: They’re both very smart. Both very hardworking. And they’re both hated by the Republicans!

A lot of folks want to be President, but, I mean, wow, it really has been a rough period for you, Mr. President. I missed the Oscars, so when I picked up the paper the next morning and saw “Crash�? in the headlines, I just assumed it was another Bush poll story.

And how about that ports deal? I feel for you, sir. It’s tough getting trapped in a storm, when no one comes up to help!

And then there’s the flap about global warming. You know, the Bush Administration’s been a little skeptical about the whole concept of global warming. It’s actually not the warming part they question. It’s the globe.

The President was so excited about Tom Friedman’s book, The World is Flat. As soon as he saw the title, he said, “You see, I was right!�?

But when people say the administration is hostile to science, that’s really a bad rap. Just last week they asked for a hundred million dollars for the NIH to fund new research into leech therapy.

I was told that this dinner is off-the record… no taping or recording of this event, unless, of course, secretly authorized by the President.

I completely trust the President with that authority, by the way. But just out of an abundance of caution, and not implying anything, I’ve asked my staff to conduct all phone conversations in the Kenyan dialect of Luo.

Truth is, this domestic spying has all kinds of useful applications for Homeland Security. And I have a suggestion, in this regard, Mr. President: You can spy on the Weatherchannel, and find out when big storms are coming.

You all watch the winter Olympics? Mrs. Bush was there, representing our country, and that was great. I’m sure a lot of us in politics were following that figure skating, because we can identify with performers who spin wildly and sometimes fall on their butts.

And the curling. Wasn’t that something? I hear Andy Stern from the SEIU loved the curling so much he’s trying to organize the sweepers.

I also enjoyed that biathlon, where they ski and shoot at the same time. Probably not your sport, Mr. Vice President.

Hey, it’s been great fun to be a part of this tonight. But before I go, I want to say a few words about the work you do.

For a democracy to succeed and flourish, people must have full and free access to information about what’s going on in their world and, yes, in their government.

The framers of the Constitution understood that, which is why the very first amendment deals with the indispensable freedoms of speech and press. Those rights, those freedoms, the access to information citizens absolutely require in a democratic society are no less important today.

Pursuing that information is not always easy. Sometimes you meet resistance from powerful institutions that would sooner operate in secrecy. And sometimes, as in Iraq, you literally risk your lives to keep the American people informed.

Tonight, even as we laugh together, I want to thank you for that important and often courageous work and extend my prayers to those journalists and their families who have made and continue to make great sacrifices to fulfill this essential mission.

And most of all, I want to thank you for all the generous advance coverage you’ve given me in anticipation of a successful career. When I actually do something, we’ll let you know.

Thanks for having me!

Oh, man, I wanna tellya, Barack, c’mon, you’re killing me!  I’m cryin’ here!  Wooooo…okay, I’m better now.

PUMA

Just Say No Deal