Dems blocked financial reform
Published 9:56 am Thursday, October 28, 2010
A recent letter from Al Helgerson put the blame for the financial crisis on Republicans. He stated his hope that voters would opt for more “intellectual horsepower” offered by Democrats.
Fannie Mae and Freddie Mac were major players in the financial collapse of two years ago. The Bush administration raised warnings about Fannie Mae and Freddie Mac in 2001 saying the problem “could cause strong repercussions in financial markets.” The Bush administration also raised concerns in ’02, ’03 (House HR 2803 Housing Finance Regulatory Restructuring Act of 2003), ’04 and ’05. In 2006 McCain introduced legislation to regulate Fannie Mae and Freddie Mac (Federal Housing Enterprise Regulatory Reform Act of 2005, S. 190). McCain said “If Congress does not act, American taxpayers will continue to be exposed to the enormous risk that Fannie Mae and Freddie Mac pose to the housing market, the overall financial system, and the economy as a whole.”
On all occasions Dems said no to regulations. Democrat Barney Frank in 2003 said there was no problem with Fannie Mae and Freddie Mac and even if there were, we would not have to bail them out. Hundreds of billions have been spent on bailouts including Fannie Mae and Freddie Mac, but we are now being told we may have to bail out Fannie Mae and Freddie Mac yet again. What’s even more amazing, the Dems tout their recent financial reform as a grand piece of legislation that would protect us. It, however, includes absolutely no regulation of Fannie/Freddie, none.
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One more thing. Mr. Helgerson mentioned “reckless spending” by Republicans. Sen. Barack Obama did nothing to curtail big spending. Nothing. In fact, he was one of the biggest spenders as senator and continues that tradition as president.
It’s amazing how political beliefs can dampen one’s “intellectual horsepower.”