Post by: Jaybird180 on April 03, 2016, 09:11:21 AM
https://www.facebook.com/433480406855583/videos/464984970371793/
Post by: President-Elect Bob Noel on April 03, 2016, 10:29:57 AM
Compare the title "free market economics is the root of all the world's problems" and then your own post "trace it back to corruption and financial greed"
Post by: nddons on April 03, 2016, 02:05:43 PM
Let's see, blame George W. Bush again. Let's blame the "racism" of banks on George Bush while we're at it. The Somali pirates are pirates because their fishing has been destroyed. What other excuses can we come up with?
And I'd really like to see the business model that shows that lending money to people that can't pay it back, resulting in foreclosures and real estate owned by the bank, is a winning formula.
Utter tripe.
Post by: Little Joe on April 03, 2016, 03:31:57 PM
yet another example of people that can't understand the concept of root cause.I'd bet that "Corruption and greed" are more prevalent and more destructive in Socialist/Communist countries than it "Free Market" capitalist countries. In Free Market economies, it is possible to satisfy your greed through hard work and ingenuity. But in Socialist/Communist countries, you have to resort to corruption to satisfy your greed.
Compare the title "free market economics is the root of all the world's problems" and then your own post "trace it back to corruption and financial greed"
No. I didn't watch the video. I did check it to see if there was a transcript or a summary though.
Post by: Jaybird180 on April 03, 2016, 09:47:08 PM
Well, once again I've wasted 5 minutes watching tripe like this.Are you denying that predatory lending practices caused the housing bubble and subsequent burst?
Let's see, blame George W. Bush again. Let's blame the "racism" of banks on George Bush while we're at it. The Somali pirates are pirates because their fishing has been destroyed. What other excuses can we come up with?
And I'd really like to see the business model that shows that lending money to people that can't pay it back, resulting in foreclosures and real estate owned by the bank, is a winning formula.
Utter tripe.
Post by: Little Joe on April 04, 2016, 03:25:24 AM
Are you denying that predatory lending practices caused the housing bubble and subsequent burst?I'm not speaking for Stan, but those predatory lending practices were fueled and ignited bv the Federal Government, demanding that banks lend to non-credit worthy applicants. In fact, those lenders were punished by denial of access to the (borrowing) window at the Fed if they refused. But in order to make it palatable for them, they were promised that they would face no risk because Fannie Mae and Freddie Mac would buy all their junk mortgages and the government would in effect guarantee their profit.
With such a setup, who wouldn't go out and make as many stupid loans as possible? They get punished if they don't and rewarded if they do. That was probably one of the most effective Government programs ever, and look what it caused.
Post by: FastEddieB on April 04, 2016, 05:11:34 AM
Are you denying that predatory lending practices caused the housing bubble and subsequent burst?
"The Big Short" is worth a watch. It can be a bit hard to follow - at least it was for me and Karen - but had some very clever conceits in the storytelling and excellent acting.
I have trouble with the concept that buyers were necessarily preyed upon or victims. It's sad that so much of the population seems to be so ignorant of things financial. But buyers have to take some responsibility for understanding how they could or could not afford a certain home, and to think through "worst case scenarios" regarding variable-rate mortgages.
Blaming the victim? To some extent, yes.
Post by: Little Joe on April 04, 2016, 05:50:23 AM
"The Big Short" is worth a watch. It can be a bit hard to follow - at least it was for me and Karen - but had some very clever conceits in the storytelling and excellent acting.I depends on how you define the term "victim".
I have trouble with the concept that buyers were necessarily preyed upon or victims. It's sad that so much of the population seems to be so ignorant of things financial. But buyers have to take some responsibility for understanding how they could or could not afford a certain home, and to think through "worst case scenarios" regarding variable-rate mortgages.
Blaming the victim? To some extent, yes.
If I run out in the middle of the highway and get hit by a truck, am I a victim? Who is to blame?
I'm not saying that there was no predatory lending. There definitely was. My point is that the government virtually assured that it would happen by guaranteeing risk free profits for the predators.
Post by: CharlieTango on April 04, 2016, 06:04:18 AM
... My point is that the government virtually assured that it would happen by guaranteeing risk free profits for the predators.
And today, they are doing it again.
Post by: Little Joe on April 04, 2016, 06:29:09 AM
And today, they are doing it again.Gotta be "fair" ya know! In spite of the overall repercussions.
Post by: nddons on April 04, 2016, 07:06:48 AM
Are you denying that predatory lending practices caused the housing bubble and subsequent burst?Joe stated it below, so I won't repeat it.
If not for being commanded into selling into poor areas by The Federal government, what business model in the world says that giving a mortgage to someone who can't afford to pay you back is a good business model?
Post by: President-Elect Bob Noel on April 04, 2016, 10:17:36 AM
Are you denying that predatory lending practices caused the housing bubble and subsequent burst?
Do you think there was only one cause?
Have you considered major contributions were unfounded assumptions that housing prices would always increase and the insane practice of requiring next to nothing down?
Post by: Gary on April 04, 2016, 10:27:15 AM
Do you think there was only one cause?
Have you considered major contributions were unfounded assumptions that housing prices would always increase and the insane practice of requiring next to nothing down?
Very true! A whole bunch of factors contributed to the '08-09 meltdown. For those who believe it was the "bad loans" as the cause, this is the perfect example of follow the money principal. Why did AIG fail? They held zero mortgages, yet would have gone down the tubes without a government bailout. Who profited from the AIG bailout?
Gary
Post by: Little Joe on April 04, 2016, 11:05:52 AM
Very true! A whole bunch of factors contributed to the '08-09 meltdown. For those who believe it was the "bad loans" as the cause, this is the perfect example of follow the money principal. Why did AIG fail? They held zero mortgages, yet would have gone down the tubes without a government bailout. Who profited from the AIG bailout?Yep. There were a lot of circumstances that came into play. But I think the housing bubble, which was very much enabled by the Federal Government was one of the biggest contributors.
Gary
There was also this little thing that happened around early September in2001, which had a lot of fallout. I'm not sure if the rise in gas prices was directly related to 9/11, but the subsequent rise, whatever caused them, choked a lot of businesses and people barely living within their means.
But the high gas prices did benefit one segment of society: Terrorists.
There were lots and lots of causes that tended to spiral out of control. But the Free Market was not one of them.
Post by: Kristin on April 05, 2016, 12:56:32 AM
Are you denying that predatory lending practices caused the housing bubble and subsequent burst?
How do you define predatory lending and can you give an example?
In my mind, this is part of a broader sociological phenomenon whereby the crooked prey upon the vulnerable. This is a class issue as much or more than a race/ethnicity/gender/immigration status/fluency in English (or whatever other lens activist groups want to look at this through) issue, though there are other tangents such as the scammers preying on the elderly who no longer had the critical thinking skills or understanding of some aspects of the modern world.
It comes down to how much freedom are we going to give people to make mistakes.
Post by: Jaybird180 on April 05, 2016, 09:08:36 AM
Yep. There were a lot of circumstances that came into play. But I think the housing bubble, which was very much enabled by the Federal Government was one of the biggest contributors.Yes, they're called Mobil, Chevron, Exxon, etc and people like Rice, Cheney, Bush, Rumsfeld pocketed their share based in their stake in those companies.
There was also this little thing that happened around early September in2001, which had a lot of fallout. I'm not sure if the rise in gas prices was directly related to 9/11, but the subsequent rise, whatever caused them, choked a lot of businesses and people barely living within their means.
But the high gas prices did benefit one segment of society: Terrorists.
There were lots and lots of causes that tended to spiral out of control. But the Free Market was not one of them.
Post by: President-Elect Bob Noel on April 05, 2016, 09:09:17 AM
Yes, they're called Mobil, Chevron, Exxon, etc and people like Rice, Cheney, Bush, Rumsfeld pocketed their share based in their stake in those companies.
aw, that's so precious....
Post by: nddons on April 05, 2016, 10:19:11 AM
Yes, they're called Mobil, Chevron, Exxon, etc and people like Rice, Cheney, Bush, Rumsfeld pocketed their share based in their stake in those companies.How cute. A little Truther.
Post by: JeffDG on April 05, 2016, 11:46:38 AM
How cute. A little Truther. (http://emoji.tapatalk-cdn.com/emoji849.png)Just getting his news from a source like what Trumpy says has an "amazing reputation"
Post by: Anthony on April 06, 2016, 01:56:41 AM