Recession because of liberal economic policies

[9sublime]

I still find this whole thread ridiculous and I think it just highlights ilikebooks political mentality.

Any problem.. THE LIBERALS DID IT! Despite the fact that everyone is talking about the economic problems from banks lending people more money than they can ever afford to pay back which in turn has led to weakning of the pound and the dollar, house price collapses immient etc.

 

[ilikeboobs]

I still find this whole thread ridiculous and I think it just highlights ilikebooks political mentality.

Any problem.. THE LIBERALS DID IT! Despite the fact that everyone is talking about the economic problems from banks lending people more money than they can ever afford to pay back which in turn has led to weakning of the pound and the dollar, house price collapses immient etc.

You realize, don't you, that lending institutions were forced by the government to give loans to people they wouldn't normally give to because some claimed they couldn't get loans because of racism? Now the government wants to get involved to fix their stupidity by asking the lending institutions to let the people off, essentially, scott-free?

Well that's great. So no one ever needs to be accountable for their actions from here on out because the government will bail you out? So next time I buy a Rolls Royce and decide later that I can't afford the payments, is george bush going to tell the dealership to let the payments slide? Government should have no place in the free market. They should stick to their constitutionally-assigned duties and let the economy handle itself.

In the end more people are going to suffer because how many lending institutions are going to be willing to fork out money to less-than-desirable people after this fiasco? And I don't blame them. They're a private business. Why should they have to bow to the whims of some punk in Congress who thinks everyone should live in a home because it's some sort of right?

And, for the record, I never said it was the fault of Liberals. I said it was the fault of liberal policies. Does it mean they were instituted by only Liberals (notice the capital "L")? There are Liberals who fight for conservative policies, and there are Conservatives who push liberal policies. Stop reading so much into it...

 

[9sublime]

You really believe that the credit crunch is solely due to political correctness and trying to be inoffensive?

Don't be ridiculous. The banks did it because they got greedy and want to have people in their pockets by putting them in debt for the rest of their life. They just didn't think far enough ahead to see depression and economic recession. However, it is just as much their fault as the people who were stupid enough to borrow three times their yearly salary.

The government, as the people are clearly so stupid, should have thought about stopping the whole easy credit thing in the first place - at least to the ridiculous extent which has left people in this mess - and started regulating it rather than bailing people out when the damage is already done.

 

[PLC1]

You realize, don't you, that lending institutions were forced by the government to give loans to people they wouldn't normally give to because some claimed they couldn't get loans because of racism?

And your backup for this outrageous assertion is, what again?????

 

[Richard Savage]

What we are seeing now is the ugly face of deregulation. The current crisis in the financial markets precipitated by the subprime mortgage meltdown is the fault of deregulation; and there’s worse to come. (Wait until you see the bank failures - and not just a few of them.) If the FDIC, FSLIC, HUD and FTC had done a proper job of regulating the banks and mortgage lenders, and if the SEC had exercised proper oversight of the sale of these mortgage- backed securities, we wouldn’t be in this mess.

 

[Dr.Who]

No, theres two types of 'liberalism'.

Letting people do what they want, or being a nanny and making sure everyone does what they want under plenty of unneccessary rules and regulations.

I think it would be safe to say that conservative uneccessary rules and regulations would have a negative effect on the economy too.

How 'bout we stick too Jeffersons idea not to mess around with things that are best left to Smith's invisible hand?

 

[Dr.Who]

First of all, laissez-faire is a totally free-market system; in other words, laissez-faire capitalism would mean no taxes for business and no laws regarding minimum wage, which would mean that businesses wouldn't want to move overseas in the first place. The policies that drive businesses overseas are distinctly anti-laissez faire.

Second of all, do you intend to "force" businesses to stay here in America? How would you accomplish this? Tariffs on foreign-produced goods would be the only non-overt way way to do so, but such policies would be wildly unpopular with consumers as all the tariffs would do is raise prices on the things they want to buy. And if you start talking about more overt ways of forcing businesses to stay in America, you'll be heading towards a fascistic economic system (and I'm not kidding).

You encourage them to stay here by creating the most advantageous playing field possible. One where government, either liberal or conservative, does'nt saddle them with unneccassary rules and regulations. We need rules to keep people from harming one another. We do not need rules to tell who what they can trade with whom for or how or why.

 

[Dr.Who]

I still find this whole thread ridiculous and I think it just highlights ilikebooks political mentality.

Any problem.. THE LIBERALS DID IT! Despite the fact that everyone is talking about the economic problems from banks lending people more money than they can ever afford to pay back which in turn has led to weakning of the pound and the dollar, house price collapses immient etc.

Well in all fairness to Boobliker, it was the government who told the banks to loosen up their lending practices so that people who previously did not qualify for loans would qualify.

Edit: oops he aleady said that.

 

[Dr.Who]

What we are seeing now is the ugly face of deregulation. The current crisis in the financial markets precipitated by the subprime mortgage meltdown is the fault of deregulation; and there’s worse to come. (Wait until you see the bank failures - and not just a few of them.) If the FDIC, FSLIC, HUD and FTC had done a proper job of regulating the banks and mortgage lenders, and if the SEC had exercised proper oversight of the sale of these mortgage- backed securities, we wouldn’t be in this mess.

Deregulation?

Wait, strike that, reverse it.